The challenges grocery retailers face growing their private brand portfolio

Since our last Insight post in April, we’ve attended Velocity – The My Private Brand conference in North Carolina where we participated in healthy debate about the future of private brands.

One recurring theme was the definition of private label and private brand. Arguably they are the same thing, a product produced by a third party packaged and sold under your own name.

However, there is becoming a clearer distinction that can loosely be defined as:

Private Label – a product created by a third party, sold in packaging with your brand or sub-brand.

Private Brand – a product co-developed, or fully developed with a partner, sold in packaging with your brand or sub-brand.

So the difference on paper is subtle, however, in practice can make all the difference in terms of product differentiation, customer perception and brand elevation across your product portfolio. That translates to customer loyalty, increased revenues and higher margins.

The major multiples and disruptors have now for years been steadily refining and growing a private brand product portfolio, created multi-tiered sub brands and increasing shelf space at the expense of national brand products.

We recognize there is investment required to achieve this as well as a change in thinking. Convincing a Chief Merchant to give up space currently used by national brands that are a guaranteed sell to an untested private brand product is no easy task.

Using tried and tested process, industry standard tools for supplier management, product specification, project and private brand artwork management gives retailers of any size the platform for developing, growing and protecting their positition in the surging private brand segment.

Let’s talk about how Opal BPM can help you accelerate the growth of your private brand portfolio.

Opal Artwork is implemented and fully supported by an experienced team of private label process management consultants. Configured to meet and evolve with your business processes and the latest industry best practices, Opal Artwork is trusted by some of the most successful private label retailers globally to develop, grow and protect their brands.

Opal BPM are Oracle™ Gold Partners with a specific focus on implementing and supporting Oracle Brand Compliance™, the market leading product safety, supplier management and product launch platform used by leading private label retailers and CPG brands globally.

To find out more about Opal Artwork, Oracle Brand Compliance™ or to dig deeper on any topic from our Opal Insight series, please contact Chris Ebbs or Matt Mintman. 

Call +44 (0)20 7014 1400 or get in touch.

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