An Investigation of Consumers Purchase Decision Towards Private Label Brands in Indian Organised Retail Sector

Author(s):  
Ajay Singh
Author(s):  
Natalia Rubio ◽  
Nieves Villaseñor ◽  
Maria Jesús Yague

This chapter develops a comprehensive analysis of the self-perception of value that the customer brings to the different retail chains present in the Spanish consumer goods retail sector. The authors incorporate a metric to determine the value that costumers have for the retail chains included in the study, and the brand equity of their store brands. The value supplied by their customers is defined as the perception of their loyal behavior and profitability on a long-term context. The measurement of this concept is based on personal judgments on repurchase intention and recommendation at present (named actual value), as well as their intention to acquire different products and brands sold by the company in the future (named potential value). Also, the chapter develops an analysis of the components that generate the brand equity of private label brands and their contribution to building customer value for the chains.


2009 ◽  
Vol 34 (2) ◽  
pp. 259-273
Author(s):  
Sudhanshu Sekhar Kar ◽  
Rohit Prashar

The recent booming of organised retail sector in India has also opened up vast scope for private label players in the market. As retail players are quick to grab a bigger and bigger slice of the retail pie, a new challenge in the shape of private label brands are raising their heads to upturn the applecart of the manufacturer brands. These private label players are no longer seen as cheap me-too products. Rather they are increasingly seen as competitors to the established brands as they lure the random buyers and toss-ups to their fold. Hence it is no wonder that the private label players are playing an increasing role from day to day in the market. They offer less priced products, satisfy local tastes even sometimes their products are of superior quality as compared to established brands. This article therefore, tries to look into the role of private labels in retail market outlining their growth, market share, problems and perspectives.


2020 ◽  
pp. 231971452096870
Author(s):  
Sheikh Basharul Islam ◽  
Suhail Ahmad Bhat ◽  
Mushtaq Ahmad Darzi

Private-label brands (PLBs) are spreading their operations in all product categories and have marked their presence in almost all types of retail formats. They are posing stringent competition to national brands (NBs), be it offline (organized and unorganized) retail or online retail. Besides being favourites of value-conscious Indian consumers, PLBs are becoming a key focus of channel partners as well. In this context, the present research article is aimed at providing insights about how PLBs are able to garner the profit-centric interests of channel partners and how they are affecting the distribution of NBs in the unorganized retail sector. The study is based on information collected through semi-structured interviews with distributors and retailers from Haryana and Punjab. A thematic analysis was performed to draw meaningful inferences from the responses collected through the semi-structured interviews. The results reveal that channel partners’ interest in the high margins of private labels and their interest in maintaining long-term relationships with the latter make NBs vulnerable on parameters such as sales effort investment, in-store visibility, ordering quantity and frequency and numeric distribution. This study provides bases for understanding private label operations in the unorganized retail sector in India.


2019 ◽  
Vol 8 (4) ◽  
pp. 113 ◽  
Author(s):  
Luca Cacchiarelli ◽  
Alessandro Sorrentino

In the last years, Italian food retailing has experienced some developments related to rising concentration levels, heterogeneous distribution along the country of the different outlet categories, and an increase of products sold as private brand labels. In the Italian agro-food industry, pasta represents a strategic product, since Italy has the peculiarity of being, at the same time, the main producer and consumer of pasta. A useful way to investigate food retailers’ behavior and strategies is to derive a measure of price rigidity, through a “frequency approach”, which permits computation of both regular prices and price promotions, and the frequency and the magnitude of price increases and decreases. We employ such methodology in order to evaluate retailers’ strategies in the Italian pasta market in terms of price rigidity and price promotions according to brand categories (Italian pasta brands versus private label brands) and regional areas for the period 2011–2013. The results show that retailers’ strategies for national pasta brands, in terms of price rigidity and price promotions, are completely different with respect to private label brands. Among the various national pasta brands, retailers adopt different strategies by, in various regional cases, employing the tool of price promotion rather than intervening with regular price changes.


2020 ◽  
pp. 147078532094833 ◽  
Author(s):  
Zachary William Anesbury ◽  
Kristin Jürkenbeck ◽  
Timofei Bogomolov ◽  
Svetlana Bogomolova

When purchasing packaged products within a supermarket, consumers choose between proprietary or private label brands. However, when purchasing fresh fruits and vegetables, non-branded produce is the dominant option—with proprietary and private label brands only recently becoming available. Previous fast-moving consumer goods (FMCG) research finds that proprietary and private label brands affect consumer loyalty—however, no research exists for fresh categories. This research is the first to determine the effect of emerging brands in fresh categories on consumer buying behavior. Our research examines consumers’ loyalty toward proprietary, private label, or non-branded fresh fruits and vegetables and the level of customer sharing between these options, using analytical approaches applicable to FMCG categories. The panel data contains nearly 46,000 households making over 8 million purchases in the United States during 2015. Results show that proprietary, private label, and now non-branded fresh produce have expected loyalty levels, for their size, and consumers share their purchases across the three options (i.e., consumers are not loyal to just one option). The study analyzes and interprets purchase data in fresh categories offering marketing academics and practitioners actionable advice for working with fresh produce purchase data.


2015 ◽  
Vol 13 (2) ◽  
pp. 123 ◽  
Author(s):  
Elias G. Rizkallah ◽  
Heather Miller

Motivated by profits and their growing power in the marketplace, retailers have been expanding their private-label brands to include more categories of consumer products and differentiation on quality to reach different consumer segments. This global phenomenon is adversely impacting the performance of national brands, thus creating a conflict between two powerful parties manufacturers of national brands and their large retailers who are supposed to be their helping hands in the marketplace. In this paper, the authors develop a conceptual framework, which captures the complexity and multidimensionality of the situation the stakeholders involved, the interest and power of each, the relationships among them, various strategies they employ, and the outcomes of the conflict. Several hypotheses were examined and tested through the empirical part of this study; for example, would the powers of these parties determine who is the loser and who is the winner or will the verdict be in the hands of the consumers? The study surveyed 281 consumers to assess their attitudes toward and preferences of store brands versus national brands across product categories and the underlying motivations. The paper concludes with recommendations for retailers and national brand manufacturers to win the hearts of consumers rather than exhaust their resources in the conflict.


Author(s):  
S. Shyam Prasad ◽  
Shampa Nandi

In India the private label brands (PLBs) are growing at a faster pace than retail. This supposes that PLBs should have brand equity. Although brand equity is one of the most important aspects of a brand in creating competitive advantage, earlier studies have not paid much attention to measuring and conceptualising the factors influencing the brand equity of private label brands. Many researches have looked into the consumer based brand equity (CBBE) of national brands only and hence this study was taken up to examine the dimensions of consumer based brand equity for private label brands including the impact of store image on brand equity.An empirical study was done considering survey instrument from previous study of Girard et al. (2017). The data was collected during December 2016 – January 2017 and SPSS and AMOS were used for analysing data.This study found that <strong>Brand Awareness, Brand Loyalty, Perceived Image, Perceived Value, Perceived Risk, Store Image and Price</strong> are the seven dimensions that build into the brand equity of the private label brands.


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