Store Brands Are Brands
what was up
A major US retailer saw the opportunity and the competitive need to improve its store brand offer. It already had plenty of private label products. But it didn't have a fully integrated "Store Brands Strategy."
what we knew
It's not just about knocking off national brand products or only seeing dollar signs (from improved margin). All that does is cannibalize the category and make national brand manufacturers angry. It is much more complicated, and requires a more strategic and sophisticated approach.
what we did
We helped our client understand how to build an over-arching strategy by learning from the best in the business around the world.
- We identified global retailers from a variety of channels and categories who had successfully built a profitable store brand approach.
- We conducted in-depth interviews with non-competing retailers, including Tesco (UK), Boots The Chemist (UK), Shoppers Drug Mart (Canada), Sephora (US/France), Costco (US) and Urban Outfitters (US).
- Based on the interviews and additional market assessment, we defined best practices, including personnel structure, innovation posture, price strategy, packaging strategy, promotion strategy, etc.
how we did
Our client has successfully built its store brands from 12% to 18% of its total mix.
"Based on WSL/Strategic Retail's understanding of global shoppers, best in class global retailers, and their access to them, they provided us with a road map to improve our store brand development process and structure. And grow our sales and profit."- VP/DMM, Private Brands -