Exclusive: Two Major Retailers See Almost 40 Percent Drop in PL Promos

January 5, 2012
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Nearly 60 percent of retailers saw a decrease in private label promotions in the week ending Dec. 21, 2011, as  compared with the same week in 2010, finds Chicago-based research firm Market Track in an exclusive analysis of retailer advertising done for PLBuyer’s eReport.
Salisbury, N.C.-based Food Lion’s ads for private label offerings in its weekly circular dropped 38.6 percent and Albertsons saw a 37.5 percent drop in the same period. Except for Bentonville, Ark.-based Walmart, who saw a 22.5 percent drop, the other four advertisers saw only a minor decline in their private label promotions when compared to the same period a year ago.
On the other end of the spectrum, Cincinnati, Ohio-based Kroger increased its private label promotions by 50.1 percent and both Hoffman, Ill.-based Kmart, part of Sears Holdings and Giant Landover increased their private label promotions by 22.4 percent and 22.2 percent respectively in the same week for 2011.
Market Track’s analysis reflects regional versioning and market specific differences in circulars. This is accomplished through an extensive collections process, including physically obtaining the ads from the various markets in which they are distributed. In instances where retailers send additional circulars to a limited number of markets, Market Track’s information reflects these nuances to give a view of what is happening nationally


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