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Brands Fighting Back, New PL Rollouts in 2011 Surprise PLBuyer Experts

November 8, 2011
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The impact of national brand promotion dollars on private label sales and the speed with which several retailers rolled out new private label lines were among the biggest surprises in the private label world for 2011, say members of PLBuyer’s Editorial Advisory Board.


The impact of national brand promotion dollars on private label sales and the speed with which several retailers rolled out new private label lines were among the biggest surprises in the private label world for 2011, say members of PLBuyer’s Editorial Advisory Board.
 
“I am actually a bit surprised at the penetration impact over the past year-more retailers than I expected grabbed the cash offered by third or fourth brands and de-emphasized PL,” says board member Craig Espelien. “I also believe there has been some spiking of the numbers-artificial inflation of penetration by adding in SKU’s and products that are not truly private label (things like fresh meat).”
 
Board member Chris Durham lists “the reinvention of the Sam’s Club Private Brand portfolio to partially dismantle Members Mark and introduce three new brands; the redesign of 7Select at 7-Eleven; the private label portfolio consolidation and redesign work that is happening at Kroger; and Walmart quietly launched its premium Private Brand World Table and [it] has struggled with in-stock issues leading to customer dissatisfaction,” as his biggest PL surprises of the year.
 
Advancing predictions for 2012, Espelien says he expects the pace of PL packaging redesign to pick up steam, something he had hoped would happen in 2011 but did not, in his opinion. Durham expects to see more premium private label in the new year.
 
More predictions from the PLBuyer editorial board will be available in the December issue of PLBuyer and on PrivateLabelBuyer.com.
 

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