Wegmans, Whole Foods, Trader Joe’s, H.E.B., and Walmart all have now utilized End Caps to position their own private label products1st in the minds eye position of the consumer. Yes, even the 800lb food retailing gorilla Walmart has recently positioned at minimum 7 End Caps within their stores with either Great Value or Marketside products.
Utilizing legacy category management metric’s Walmart has positioned low end private label brand Great Value and their higher end private label Marketside on End Caps squeezing attention from legacy brands. Consumer have embraced and accepted private label products. What is needed for success is not a battle of private label vs. brands but new private label category brand managers. Each category needs a brand manager of its own. i.e. dairy, cereal, bread, etc.
Wall Street analysts who pride themselves on “state of the art information” need state of the art metrics. A&P and Supervalu tried to please the street with legacy metrics. Who well did that work? It’s time to reward those who are garnering customers, while reducing basket size as well.
Outside eyes can deliver top line sales and bottom line profits. Invite Foodservice Solutions® to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions® visit http://www.linkedin.com/in/grocerant or twitter.com/grocerant