Attitude toward Private Label Brands

The primary aim of this study was to identify the determinants of attitude toward Private Labels (PLs) in Spain in one of the most important industries for such brands: the Fast-Moving Consumer Goods (FMCG) industry. To this end, a conceptual model was proposed based on a review of the relevant literature in the field. To test the model, a database was compiled consisting of 626 consumers who had purchased FMCGs. These data were then analyzed using a structural equation model, which corroborated the association between the following variables: smart shopping, promotion proneness, value consciousness, and the perceived quality of PLs based on their extrinsic and intrinsic attributes. These results emphasize the need that grocery retailers pay special attention to the psychological bonds PLs are able to develop in consumer minds, aside to traditional variables related to their economic value benefits. In light of these findings, a number of implications for PL management are proposed.