Deloitte: Store brands retain a strong presence in retail
NEW YORK Deloitte released a report last week that reaffirmed the latest shopping trend among consumers: private-label purchases.
In Deloitte’s new “The Battle for Brands in a World of Private Labels” study, 77% of consumer packaged goods executives and 90% of retail executives surveyed said the market share of store brands will increase significantly by 2012 in the United States, as many consumers find that store brands are manufactured just as well as national brands and find little to no reason to switch back to national brands, Deloitte said.
“Though conventional wisdom has co-branding between retailers and CPG companies as a win-lose proposition, the results of our study indicate that nearly half of retail and CPG executives agree that working together may be the best way to win the wallets of the ‘new consumer,’” said Pat Conroy, vice chairman and Deloitte’s U.S. consumer products practice leader. “What they need to consider are variations on current brands and what new innovations should be brought to market so as not to overwhelm an already substantial marketplace.”
Kmart gets smart, uses its senses with private-label line
HOFFMAN ESTATES, Ill. — Kmart is introducing its private-label brand, Smart Sense, offering customers products for almost 20% less than the leading brand. The Smart Sense line currently consists of hundreds of products available in Kmart stores, and will expand to more than 1,200 items by early 2011.
"With the introduction of the Smart Sense line, Kmart is looking to offer a more affordable Kmart brand product assortment that will rival the quality of more nationally recognized brands," said Mark Snyder, chief marketing officer at Kmart. "While the Smart Sense line will offer the everyday essentials, Kmart is also taking it a step further by providing unique products that you wouldn’t typically expect to see under a store brand."
The Smart Sense line is part of the Kmart Smart Assist Savings Card loyalty program, which gives eligible unemployed customers a 20% discount off of more than 1,200 regularly priced, high-quality Kmart-brand grocery and drug store staples. The program was launched in 2009 and currently has more than 100,000 members.
In related news, Kmart-branded products also will be getting a new look that features brighter packaging, the company said.
Odwalla adds two flavors to bars line
HALF MOON BAY, Calif. Odwalla is expanding its bars line with two new flavors.
Odwalla’s new chocolate peanut butter protein bar features 12 g of protein and contains calcium and vitamins E, B6 and B12, all delivered in a chocolate peanut butter decadence. The blueberry swirl superfood bar from Odwalla contains calcium, folate and vitamins A, C and E, and features the swirling flavor of blueberries with a bonanza of nutritious organic oats, dates and crisp rice, the company said.
Both bars hit store shelves this month and are available in natural food stores, select supermarkets and specialty outlets nationwide with a suggested retail price of $1.39, along with such other Odwalla bars as Mocha-walla, banana nut and berries GoMega.