The Role of Private Labels in the Organic Food Market

Author(s):  
Miguel Llorens ◽  
Sonia Carcelén

The organic food market has become one of the most rapidly growing sectors in developed economies around the world in the last decade, but it has not grown at the same pace in all the countries. The review of literature clearly indicates that the main motivations of the Spanish consumer to buy organic food are Health, Taste and Quality; also reveals that the main barriers are related to Price and Availability. The organic Store Brand appears as an opportunity for retailers to overcome those barriers, the price gap and the lack of availability. This study investigates the role of Store Brands in the development of the organic food product category. The authors provide a comprehensive picture of the current status in the Spanish distribution channels and review some PL strategies for the retailers to develop the category in different marketing areas such as branding, labelling, pricing, merchandising and promotion.

Author(s):  
Miguel Llorens ◽  
Sonia Carcelén

The organic food market has become one of the most rapidly growing sectors in developed economies around the world in the last decade, but it has not grown at the same pace in all the countries. The review of literature clearly indicates that the main motivations of the Spanish consumer to buy organic food are Health, Taste and Quality; also reveals that the main barriers are related to Price and Availability. The organic Store Brand appears as an opportunity for retailers to overcome those barriers, the price gap and the lack of availability. This study investigates the role of Store Brands in the development of the organic food product category. The authors provide a comprehensive picture of the current status in the Spanish distribution channels and review some PL strategies for the retailers to develop the category in different marketing areas such as branding, labelling, pricing, merchandising and promotion.


2020 ◽  
pp. 314-340
Author(s):  
Gonzalo Moreno Warleta ◽  
Mónica Díaz-Bustamante Ventisca ◽  
María Puelles Gallo

Non-food vendors struggle to reduce customers churn when these shop for consumer goods: From simple coupons to sophisticated big-data-based loyalty systems, modern merchants undertake a range of initiatives to maintain customer loyalty to their stores. At the same time, while consensus exists on the fact that retail brands have the ability to generate store loyalty, this fact has seldom been empirically corroborated. Probably due to this lack of certainty, many non-food retailers use “private label” product strategies as a way to preserve healthy business ratios, such as revenue, contribution margin, operating profit, etc., far from the idea of developing customer loyalty to the store. This constitutes the main objective of our work: To prove the existence of a statistic correlation between Consumers' loyal attitudes and behaviors towards “private labels” and their loyalty towards The Store Brand Name that sponsors these brands.


Author(s):  
V. Aslihan Nasir ◽  
Suphan Nasir

While, the market for organic foods is growing; the proportion of consumers who buy organic foods is still considered low. The role of communication activities is very important for promoting the organic food consumption. In order to create awareness and generate demand for organic foods, companies need to use effective communication tools. Companies in the agribusiness sector try to take advantage of the information and communication technologies in the digital era with the purpose of communicating the value of their offer to consumers. Companies need to know which information sources (channels) are most influential in purchase decision while communicating with consumers. Thus, the aim of this study is to examine consumers' credibility perceptions of communication channels that are used to promote organic food. The great majority of the respondentsin this study mentioned that they had never seen organic food ads. However, a significant number of consumers who had seen organic food ads declared Internet as the medium they had exposed to organic food ads. Nevertheless, our study revealed that the respondents did not perceive Internet as a credible source of information about organic foods. Yet, online social networks were perceived as more reliable source of information about organic foods when compared to majority of traditional media such as radio and newspaper ads. The distribution channels that consumers prefer to purchase organic foods was also investigated; and it is found that a significant portion of the consumers choose supermarkets and neighborhood bazaars for their organic food shopping whereas Internet/online shops and pharmacy stores were shown as the least preferred shopping alternatives. Finally, a substantial majority of the consumers mentioned high prices and availability as the main barriers against buying organic foods.


Author(s):  
Haroon Qasim ◽  
Liang Yan ◽  
Rui Guo ◽  
Amer Saeed ◽  
Badar Ashraf

Consumption values and self-identity are the essential antecedents of consumer sustainable behavior. By integrating the theory of consumption values and self-identity approach, this research explores the relationship among consumption values (functional, social, conditional, epistemic and emotional), environmental self-identity and the behavioral intention to consume organic food. The data was collected from 406 organic food consumers through a structured questionnaire in Lahore (Pakistan). Using the PLS-SEM approach, we find that conditional value, emotional value, epistemic value, and functional value quality have a significant positive influence on consumers’ behavioral intention to consume organic food. We further find that environmental self-identity significantly mediates the structural relationship between consumption values and the behavioral intention to consume organic food. Our results imply that the interventions targeting environmental self-identity are a promising way to promote sustainable consumption behavior. Our findings also have important implications for the development of the organic food market based on consumption values and self-identities.


Author(s):  
Gonzalo Moreno Warleta ◽  
Mónica Díaz-Bustamante Ventisca ◽  
María Puelles Gallo

Non-food vendors struggle to reduce customers churn when these shop for consumer goods: From simple coupons to sophisticated big-data-based loyalty systems, modern merchants undertake a range of initiatives to maintain customer loyalty to their stores. At the same time, while consensus exists on the fact that retail brands have the ability to generate store loyalty, this fact has seldom been empirically corroborated. Probably due to this lack of certainty, many non-food retailers use “private label” product strategies as a way to preserve healthy business ratios, such as revenue, contribution margin, operating profit, etc., far from the idea of developing customer loyalty to the store. This constitutes the main objective of our work: To prove the existence of a statistic correlation between Consumers' loyal attitudes and behaviors towards “private labels” and their loyalty towards The Store Brand Name that sponsors these brands.


Nutrients ◽  
2021 ◽  
Vol 13 (12) ◽  
pp. 4351
Author(s):  
Andrzej Soroka ◽  
Anna Katarzyna Mazurek-Kusiak ◽  
Joanna Trafialek

This study aimed to determine the differences in the frequency of, reasons for, and barriers to purchasing organic food among the inhabitants of the Visegrád Group member states. The selection of the countries for the study was dictated by the fact that the countries of Central and Eastern Europe play the role of a niche market in the European organic food market. This research employed the method of a diagnostic survey and the discriminant function. A chi-squared test, ANOVA, and Fisher’s Post Hoc LSD test were also used to present differences in individual groups. This research shows that respondents from Poland, the Czech Republic, Hungary and Slovakia were guided by similar behaviors regarding the purchase of organic food. However, the attitudes of the respondents slightly differed between countries. In the case of the reasons for choosing organic food, the most important thing was that it is non-genetically modified food, especially for Polish consumers. The following were also mentioned: lack of chemical compounds (Slovaks and Czechs), high health value of such food (Czechs and Slovaks), and excellent taste (Hungarians). The most critical barriers against purchasing are the price (Poles and Hungarians), difficult access (Poles and Hungarians), and the short expiry time of such products (Slovaks).


Author(s):  
Laura Catalina Timiras

This paper presents the evolution of the organic food market at EU level, as well as its place in the world. Market size was highlighted based on the retail sales of organic food indicator, and the consumer penetration rate of this product category was assessed by retail sales of organic food per capita. Europe is the second largest market in the world for organic food, out of the total, 91% being related to EU member states (in 2015). In the last few years, the analyzed market has seen increases in EU countries, with differences between them, both in terms of dynamics and consumption intensity (old EU members far outstripping the new ones on this indicator). Despite the positive evolution, the analyzed market remains a market with a huge potential for development, still untapped, the penetration of organic food consumption still being at a low level.


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