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IntroductionIn 2010, nearly half of Australians reported paying a ‘high’ or ‘very high’ amount of attention to the changing prices of their favored grocery products. This formed the backdrop for a new phase in the evolution of private label products in Australia. Indeed, in same survey, 43% said that buying private label/store brand products to save money had become more important in the previous two years.Features and benefitsObtain a superior understanding of how improving perceptions of private label quality are translating into willingness to purchaseAccess unique consumer data offering insight into the perceived quality of private label in Australia (including specific brands)Identify the sectors in which brand loyalty among Australian consumers is strongest, and to what extent this influences private label adoptionHighlightsAustralian retailer efforts to create differentiated private label tiers based on quality is positively influencing consumer perceptions, as the premium-end labels are most likely to be perceived as superior or identical to well-known brandsIndicative of consumers’ more sophisticated understanding of private labels (and ambivalence towards marketing/advertising in general), two-thirds of Australians agree that the higher prices of branded products are driven by extra ad spend. This has both positive and negative implications for retailers in the context of growing store brandsAustralian shoppers value product assortment, yet perceive supermarkets to offer too much choice. This presents a challenge for retailers to balance wide product assortment with the need to create a simple and efficient shopping experience for time poor and convenience-driven consumersYour key questions answeredHow do brand loyalty and the desire to support local products impact value consciousness?To what extent are Australians adopting private labels? What do they think of store brand quality by sector? What are the fastest growing categories?How are national brands combatting the private label threat in Australia and elsewhere? And what tactics are retailers using to accelerate growth?
