Question

Topic: Branding

Private Label Packaging And Branding In India

Posted by Anonymous on 250 Points
A retail chain is looking to introduce private label products in India. It is initially introducing limited number of SKUs.
Should the products be introduced under a store brand? store sub brand? Should they be introduced under some other private brand? It is important to note various private label categories being introduced by this retailer have low penetration in India to begin with (though they might have high penetration in certain sub-geographies within India)

What kind of packaging should the product have? Unique/Distinctive? Copycat to leading brands?
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RESPONSES

  • Posted by ilan on Accepted
    It all depends on the reputation of the retail chain.
    If the brand of this chain is a very well-known and respected brand, even a loved brand, than yes! use the private label under the store brand name.
    The immediate association of the store brand with products that carry the same name is a winning combination.

    But if the store is perceived as a cheap, bargain oriented store that sells only cheap, low quality products it won't do anything to promote the private label products.

    Make sure that the private label products reflect the brand personality of the chain, no matter what your final decision is regarding the name.
    As for the design, whatever you do, don't make the design look as if it comes from another world, make it look as if it belongs to the brand environment of your store.
  • Posted on Author
    Thanks ilan. But doesn't using the store brand prevent the company from introducing products across various price points? For example, if the company uses the store brand initially to introduce products at discounted prices, wouldn't it have problems introducing "premium" private label products later on? Or would you think it can later introduce these premium products under a separate brand which in any case would require promotional activities.
  • Posted by itsallaboute on Accepted
    It's hard to go from a discount brand and then introduce an upscale line. If that's the case, you'd be better off with a whole new brand.

    An alternative option would be to leverage the retail store name, if it will help for credibility, by mentioning it in the marketing copy.

    Example:
    Introducing Active Plus, a new line for active seniors from ABC Health.

  • Posted by ilan on Member
    That's what I mean when I say that you have to consider the personality of the store, and adhere to the brand value and reputation.
    Target is selling private label toilet paper, but also other upscale fashion brands under the store brand.
    All this is really depending on the history of the brand, what it stands for, and most importantly what it DOESN'T stand for...
    You have to plan a brand hierarchy of the private label brands just like anything else you do in developing any other brand
  • Posted on Accepted
    Hi there,

    Im conducting an University PhD research about PL and the influence on the Pacific. I just got back from Samoa for 5 weeks and I'm currently stationed in the Netherlands.

    I was reading your articles and find it very interesting. My question is; could anyone give me the rough lines on what steps to take to start with private label and what are the major pro's and con's? Is there also any other info available about PL in underdevelopment regions?

    Regards, Maurice

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