Private brand excellence requires retailers to adopt a new mindset. It requires that the retailer incorporate private brand as the critical part of their strategy – and not as a nice-to-have element. Retailers must live and breathe brand in every aspect of their business.
They must demonstrate their commitment to both their retail brand and their private brands by consistently implementing the full range of communication tactics so that every customer and associate is certain of their commitment.
Over the last 30 years, few retailers have been able to apply a consistent day in and day out effort to truly build their private brands. Target, Loblaws, Tesco and Trader Joe’s have all been able to capture share and build customer loyalty, but even they have had their missteps.
So what are the keys to private brand success?
CLARITY OF FOCUS
- Develop focused, consumer-relevant brands and commit to building them as corporate assets.
- Create a dedicated brand team.
- Commit to a long-term brand building while encouraging short-term growth.
- Focus on a strategy that builds a portfolio of consumer-relevant private brands.
- Build one-, three-, five- and 10-year plans and enlist the entire organization to make them happen.
- Do not confuse brand management with product development.
CONSISTENCY OF EXECUTION
- Consistent package design validates the customer decision and lets the customer easily recognize the brand.
- Consistent quality is essential.
- Consistent merchandising enhances brand recognition.
- Celebrate your brands as assets.
- Marketing is crucial.
- Consistent pricing clarifies the brand positioning.
COMMITMENT TO INNOVATION
- Build a culture that both rewards and expects innovation.
- Develop brands that, at their core, are innovative.
- Encourage and reward all partners who bring innovation.
- Create innovation in all brands.
- Commit to both incremental and radical innovation.
What will YOU do?