Private Label Buyer

Exclusive: Wegmans Dramatically Changes Ad, Keeps Promoting PL

March 9, 2011

Wegmans changed its weekly ad design but that didn’t prevent it from once again being the most active in promoting private label items, according to information on food retailer circulars for the week ending March 5, 2011 provided exclusively to PLBuyer by Efficient Collaborative Retail Marketing (ECRM) from its weekly ad comparison.

 

“Wegmans ran a really unique ad this past week that is fundamentally different from anything they have run before,” says Tom Pirovano, vice president, industry insights, at ECRM. “The advertisement was very bright and had a focus on low prices. They used a lot of their own products to remind consumers of their low prices.”

 

The circular also ran a letter from the management promising customers that, despite the rising price of commodities, Wegmans will not change the price of all 40 products listed in the advertisement. “That is causing a bit of a stir right now,” says Pirovano.

 

This is the third consecutive week Wegmans has held the top spot in ECRM’s rankings, this time with 78.9 percent of its circular devoted to promoting private label items. This represents a 25 percent increase from last year’s weekly average for Wegmans.

 

First aid and wound care once again landed on the top of the list for private label categories promoted last week, ECRM found. Baking needs saw the biggest increase in share point difference within the categories with an 11.5 percent increase compared to the average it was promoted last year. Despite the increase, Pirovano sees the boost as a rare spike with no traditional promotional motivation to explain it.