Daymon unveils look into the emerging trends and strategies for retailers to elevate private label brands
Daymon, a global leader and pioneer in Private Brand development, released the latest edition of its Private Brand Intelligence Report, delivering an inside look into the emerging trends and strategies that will be essential for retailers to elevate and differentiate their Private Brand programs. The comprehensive report features insights and thought leadership from Daymon’s team of industry experts in category, fresh, culinary and wellness, who used proprietary analyses, consumer surveys, market research and global intelligence to provide the key action steps retailers must use to innovate and lead through Private Brands.
BALANCE OF POWER SHIFTING TO PRIVATE BRANDS
As retail undergoes significant change, Private Brands are setting the pace for the rest of the industry. In 2018, there was a 4% increase in Private Brand sales, nearly six times the growth of National Brands. That growth came from categories across the retail spectrum, including beauty and personal care, pet, household and food.
Private Brands have also become a crucial source of differentiation, store choice and consumer preference, as Daymon’s research finds that:
• 98% of National Brand assortment is the same across retailers
• 53% say they shop at a store specifically for its Private Brands
• 81% buy Private Brand products on every shopping trip
“Consumers are empowering retailers to be pioneers – to offer new and unique Private Brand products that align with their constantly evolving preferences and needs,” said Michael Taylor, President of Daymon. “With shoppers becoming ever more channel agnostic, retailers must pivot from category-led updates and focus on consumer-centric platform innovation. This will help them raise the profile of their Private Brand program and differentiate from their competition.”
DEFINING THE PATH TO INNOVATION
Innovation is a key pillar to a successful Private Brand program. In 2018, best-in-class retailers launched more than three times as many new Private Brand products as compared to the industry average, a pivotal driver of their Private Brand growth which outpaced the industry average by nearly five times.