Juanchen
Brand marketing
Bob Mullenbach
28th October 2008
Brand versus Private labels
This paper leads me to know about the private labels on the market. Private label is the big retailers to support its own sale, cooperate with some big manufacturers, so the big manufactures sales products to the large retailers or produce goods with the retails together. Mostly they only put retailer's name on the label. These products will be sale only in the retails ' chain supermarkets.
Private label has low -cost advantage. It’s has own distribution ,marketing and information .Can save the cost ,and the low price is the biggest selling point. Usually the price of private label goods lower than the manufacturer of brands 20%--40%.And I know that private labels strength generally varies with economic, when economy goes down, the private -label market share generally goes up.
To have private labels ,the retailers need :1 have a large size business, like wal-mart.2 have a powerful strange ,have a private label, need do research, marketing, gather information and so on, only powerful management can control every aspect. 3 good reputation.3 Only the large retails has good reputation ,the customers can trust its private label. The private label goods can be sale and developed.
How to make the private label develop better in the market?
1,Improve product quality .Private label wants achieve long-term development, not only have low prices, but also the quality of the private label products, high quality and low cost products can be more competitive. And retailers should develop premium pirate label brand, as long as product good enough, the price of private label can be more than the manufacturer brand.
2,Do more on publicity. Any kind of advertising ,so customers can easy understand and accept the private labels. Design patterns, colors, logo and do on, make full use of retails' own advantages, use more way to marketing the private label. Some retails so depend on products' low price, retailers should pay more attention on how to do propaganda in its own market, to make full use of its resources.
3 Establish a quality and management system. Check the quality in every product chain. Quality control from raw materials, production technology until selling, Keep all the data in every chain.
Evaluating private label is important, retailers should keep the private label under control.
After
talking about what I learn from the book and internet,I want to
talk something personally. It's hard for me to buy private
label products,I strongly think brand products have better
quality,even private label is much more cheaper.
so what
the retailers really should try to do is make good quality
products,put more ads,maybe can try to put the products
in different standers ,and its a long term
work.