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Private-Label Brands Gain Momentum And Here To Stay, Report Shows

April 25, 2016: 12:00 AM EST
In the United States, 32.2 percent of consumers said they are currently buying more private-label brands, according to the latest edition of “The Checkout” report by Integer Group and M/A/R/C Research. Among shoppers who buy private label, only 6.6 percent said they plan to return to name brands. Results of the study showed 74 percent of shoppers who bought a private-label product said it was better priced than name-brand products. Data also revealed that African-Americans expressed a stronger preference for name brands, being more likely to buy more name brands in the future, and avoid purchasing private label. According to the researchers, the report presents significant implications for brands and retailers: private label is here to stay; private-label brands are no longer just the “cheap” option, they now come with good-enough or comparable quality; African-Americans, as a target market, are a potential area for growth; “trust can be seen as a reflection of shared values with the brand and social currency;” and values are not rational.
"The Checkout Identifies New Normal Of Private Label", The Integer Group® and M/A/R/C® Research , April 25, 2016, © The Integer Group
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