Want your business to stand out? Then jump on the private-label bandwagon. After the acquisition of New-York based Duane Reade, Walgreen’s discovered emerging “celebrities” within Duane Reade’s private-label portfolio. Impressed, the company took Duane Reade’s DR DeLish line, which consists of premium snacks and beverages, and introduced it nationwide.
Since the economic downturn, more consumers are trading down and discovering that store brands offer the same quality. Packaged Facts estimates private-label food and beverage dollar sales totaled $87 billion in 2009, to account for 17% of total food and beverage retail sales in the United States. According to Rick Bendel, chief marketing officer at Wal-Mart owned Asda, private-label accounts for a whopping 50% in Great Britain.
It’s 2010 and we haven’t even tapped into the potential of store-brands in this country.