...strategy being private branding adopted by most of the retailer. Private brand is one of the strategies decisions for most of the retail organizations in recent years and hence many retailers’ have introduced varieties of private label in different categories like apparel, food and grocery, health care, personal care, consumer durables, lifestyle etc. Major driving force behind introducing store brand is to ensure the customer store loyalty. This can be accomplished as brand is available only in specific stores. The study aims to analyze the Consumer Perception towards Private Label Brands on Big Bazaar, Patia. This project report provides analysis and evaluation of customer perception towards store brands of Food Bazaar. The objective of the study is to understand the possibility of success when retailers introduce private brands. The research is aimed to explore if buying choices are made based on brand loyalty and to analyze whether customers actively seek for new brands or strict to the old brands. Methods of analysis include pie charts and graphs which chalk out the customer profile and how they make decisions with regards to brands. The project kicked off on the 2nd week at Big Bazaar,Patiawhen I got my topic. The 1st week went primarily studying retail store operation such as shelving, racking, selling and visual merchandising. From 2nd week onwards, I took those days when footfall is high in Big Bazaar i.e. Wednesday and weekends. I took the sales data of all private labels and...
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...Table of contents • Executive Summary……………………………………..………………………………………08 Section I • Introduction to Private Labels………………………………………………………………09 • Background: Evolution and Emergence of Private Label………..…………….11 • Review of Literature…………………………………………………………………………….13 Section II • Research Methodology………………………………………………………………………..18 i. Objectives of Research……………………………………………………………….18 ii. Research Problem……………………………………………………….…………….18 iii. Research Question……………………………………………………….……………19 iv. Research Hypothesis………………………………………………………………….19 v. Research Method………………………………………………………………………20 vi. Limitations…………………………………………………………………………………20 Section III • Data Analysis……………………………………………………………………………………….21 i. Demographics……………………………………………………………………………21 ii. Awareness………………………………………………………………………….……..23 iii. Importance of Factors influencing Purchase………………………………25 iv. Consumer Attitude……………………………………………………………….……27 • Private Label Vs National Brand: Brand Strategy………………………………….36 • Findings of Research………………………………………………………………………..….40 Section VI • Implications for Retailers……………………………………………………………………..41 • Suggestions ………………………………………………………………………………………...42 • Conclusion……………………………………………………………………………………………43 Bibliography………………………………………………………………………………………………..44 Appendix: Questionnaire……………………………………………………………………………….46 Contents of tables 1. Determinants of Success of Private Labels……………………………………………16 2. Descriptive Statistics 1…………………………………………………………………………26 3. Descriptive Statistics...
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...yields a high rate of return but has no new entrants must have significant barriers to entry. The RTE cereal market has significant entry barriers. Two, barriers to entry does not necessarily mean high profits for all incumbents in an oligopoly. However, in the RTE cereal, it has. This is attributable to the fact that players in the oligopoly have demonstrated profit maximizing behavior and have successfully avoided market share maximization motivated price wars. Barriers to entry are discussed below. Brand Proliferation Strategy: Incumbents have successfully launched a “brand proliferation” strategy using which every foreseeable market niche is already serviced with a specific brand. Collectively, there are about 200 + brands offered by the three leading suppliers. This approach deters new entrants because no market niches are left out for new providers to exploit. Also, the given market share of any one brand is low in a market which has such a large number of brands. This also makes it difficult for new entrants, as the expected market share from a new launch (and hence revenue/profit) is very low. This would typically not cover the costs associated with initial capital...
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...Mission * Definition (What business are we in?) * Renova is a private Portuguese-owned company that manufactures disposable tissues and hygiene products under the brand name “Renova”. * Purpose (What do we want to be in? * They would like to be Europe’s leading brand that loves the customers, care about them and has a culture * Expand new market in Western EU * To promote the well-being brand of both body and mind, while supporting successful relationship not only of a person with oneself, but also with the whole environment. Company/Organisation Analysis SWOT Analysis Strength: (Internal) * Strong domestic brand-awareness. Using its already established brand awareness in people’s minds. * Furthermore strong brand awareness helps Renova to introduce new products or modifications for instance “moist toilet paper” to the market. - Innovative advertisement the company can differentiate itself (Creative, art). Renova is able to conduct its advertisement campaigns and promotions in a very effective and direct way.- Flat company structure (medium-sized family business) build creative - Wide range of product with wide range price (Exhibit 6) | Weakness: (Internal)- Generally high domestic prices- Innovative and broad product-line - High price could be a weakness, because it’s considered important by the customer compared to private label.- Renova has to pay attention to its weakness of fairly high priced products...
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...National Branding vs. Private Label Branding | National brands typically have a better value for the consumers compared to a private label brand, because national brands generally sell far more than private label brands. In all probabilities, consumers believe that the national brands are typically of higher quality. Whether this belief is factual or not is irrelevant to the outcome in the market, as long as consumers believe it. There is very small difference in quality between some national brands and private brands, yet consumers pay more for the national brands. Usually, it is hard to know, without the aid of chemical analysis or other forms of tests, whether private brands match national brands. Uncertainty may occur due to many reasons. For example, a bread company produces many private-label breads. This however does not mean that private brands are of the same quality as the name (national) brand. The bread company may differ in its formula when producing private brands, and we should also consider that the private brands may not be as fresh as the national brands (Kis 10). Similarly, we can also look at the case of say the largest brewer of beer in your region under its own national label; can also be among the biggest supplier of private-label brand of beer. Many private-label brands of wines and spirits as you have witnessed are produced by well-known national-brand companies. Consumers are usually willing to pay more for national brands, because they are confident...
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...1. (TCO B) Your company has developed a new educational electronic game. Your target market is 4-6 year old children. What research methods would you use to test this product concept? Choose at least three methods that you believe will provide valuable information, and describe your research strategy. (Points: 22) Our company has developed a new educational electronic game that is targeted to children age 4-6 years old. The following research methods will be used in order to test the product among the targeted consumer market. the company will use a combination of observational research, Internet surveys research and personal interviews. Observational research will be collected in order to see the human component this will show how children will be interacting with the product. The researcher will enter the situation and observe the behavior while recording the data. Several observers will work at the same time to establish inter-observer reliability this will reduce bias as to one point of view. By watching these physical inter-actions, the observer can better understand how the product will be perceived and how consumers will use it. This knowledge will lead designers to improve the product as well as answer a variety of research questions. Internet survey research will be gathered from the parents of children ages 4 to 6 years old, this data will reveal their preferences and beliefs and essentially how they feel about educational electronics games. The survey will...
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...OBJECTIVE: Kanpur Confectionaries Private Ltd (KCPL) has the vision of emerging as a leading national brand in the biscuit industry and thus maintaining the family name and dignity. PROBLEM: APL is a leading national player in the biscuit industry and is a major competitor of KCPL. KCPL has to decide their response to the proposal of A-One Confectionaries Private Ltd (APL) about becoming its contract manufacturer. OPTIONS: KCPL has the following 3 options: • Option 1: Accept APL’s offer • Option 2: Become an independent contract manufacturer. • Option 3: Rebuild the “MKG” brand. DECISION: KCPL should work on reviving its brand. ACTION PLAN: KCPL has to work on technology upgradation, increasing capacity utilization and managing a efficient workforce. It also has to improve its brand image and target new profitable markets. CONTINGENCY PLAN: As a contingency plan, KCPL can accept the offer of APL. 1. SITUATIONAL ANALYSIS Mohan Kumar Gupta started Kanpur Confectioneries Private Limited (KCPL) in Jaipur in 1947 to sell sugar candy under the brand name of “MKG”. He later set up a production unit in Kanpur (UP) because of intense competition in Jaipur. He ventured into the biscuit industry with the “MKG” brand. Its turnover increased during the early 80’s. But with the stiff competition from the firms in the organized and unorganized sector its sales have declined and by mid 80’s it has started making losses (Exhibit 1). It became a contract manufacturer...
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...This case talks about the company Levi Strauss and the tough decision CEO, Paul Marineau, had to make back in 2002: whether he should sell his products at Wal-Mart or find another alternative way to make money. In the last five years, Levi-Strauss had lost sales and had to close US plants to move production to cheaper offshore areas. Levi's really needed to revive the brand image to gain back some lost sales and was using marketing to create new advertisements and product placement to broaden their target market. Levi's had tough competition on every level of the price-point spectrum, whether it be high end retailers like Diesel or Calvin Klein, middle vertically integrated retailers like Gap or American Eagles, and on the bottom, private-label brands like Wal-Mart and Target. Levi's had sold to Wal-Mart through a value brand called Brittania in the 1980's and the 1990s, but that came to an end in 1994 over a dispute in Canada about Levi's Orange Tab jeans. After that, sales dwindled for Brittania, and Levi's sold Brittania to VF Corporation. In 2002, however, Levi's was thinking about offering a new value brand to Wal-Mart. It was not that easy of a decision though. They had to think of a way to keep the existing customers in the other channels and not lessen the brand's perceived quality overall. Strategic analysis &; options There are many positives of Levi Strauss selling their products through Wal-Mart, but there is negatives as well. I'll start with the positives first...
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...I Company Background: Unilever is the parent company of the Skippy brand peanut butter. Unilever is a multi-national company with over 174,000 employees and operates in over 100 countries. Unilever has an annual advertising budget of over $77 million dollars, however it does not break down the budget per business segment. Total sales for Unilever is over $59 billion USD during fiscal year 2008. (Reed Elsevier Inc) II. Brief Introduction: Skippy was founded in 1933, 10 years after the product was initially developed by Joseph Rosefield. Skippy's Peanut Butter is manufactured in a single 158,000 sq ft plant in Little Rock, Arkansas. They produce over 10 million cases of Skippy per year and have a total of 72 different SKU's produced for global consumption. They use over 1.2 billion peanuts a day and each 18 oz jar contains 853 full peanuts. (Food & Drug Packaging, 2004) Sales data for Unilever saw overall growth in this business segment in 2008 of 7.9%. Peanut butter sale is included in the Savory, dressings and spreads product area by Unilever and accounted for sales of over $14 billion Euros. (Annual Report and Account 2008, 2008) Skippy is a marketing based organization. The products they develop and market are geared towards meeting customer needs and attempting to differentiate themselves from their competition. Examples of this would include reformulating the Skippy Peanut Butter to have a more "peanutty" taste (Skippy Peanut Butter, 2009) and also developing...
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...due to stagnation in customer population and market saturation Western European Toilet paper market is experiencing polarization – strong growth for premium brands, stagnations for standard and economy brands and rapid growth for private labels. 2003-05 Spain premium brands increased 16% and private labels increased 12% and standard/economy increased by 3% - Growth of private labels in Europe is driven by improvements in the quality of marketing of their products AND growing power of retailers which are consolidated and able to impose relentless pressure on every supplier. Renova in western Europe has less than 1% market share Competitors in tissue industry are $57 Bill Proctor and Gamble – Charmin TP and Bounty Kitchen rolls $16 Bill Kimberly Clark – Kleenex TP and facial tissue, Scott TP and Kitchen rolls, Cottonelle $21 Bill GP paper company – Angel Soft, Lotus, etc $13 Bill SCA (Svenska Cellulosa Aktiebolaget)- Velvet and Tempo Retailers that are competitiors AS WELL AS Renovas SOLE customers – * Carrefours – 64 bill sales in europe * Lidl – 40 bill sales in Europe * Tesco - $37 bill sales in europe * Also medium size European paper producers that could get into Portuguese market – mainly Sofidel - $800 mill in sales and 4th largest tissue company in Europe – owns Nicky and Regina brands – strongest in Italy but rapidly expanding to...
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...India in single brand retail showrooms, foreign retail majors like Tesco,Walmart and Carrefour are all set in to enterthe Indian market. All thesecompanies are known for their Private label brands. Tasty treat ofF ood Bazaar has now become popular and comes in a wide range of product categories. Food Bazaar's in house tea-brand -which is 20-30% cheaperthan the major National Brands has cornered 40% market share. In salt, Food bazaarhas market share of 40-50% .Kishore Biyani of Future Group has evensaid that -Private Labels can be usedto hedgethe inflation. According to the Private Label Manufacturers' Association (PLMA), "Private label products encompass all merchandisesold under a retailer's brand. That brand can be the retailer's own name or a name created exclusivelyby that retaile1: In some cases,a retailer maybelong to a wholesale group that owns the brands that are available only to the members of the group". According to (Baltas,1997), a Private Label is, "A consumer product produced by, or on behalf of,retailers and sold under theretailers' own name or trademarked through their own outlets " . Private labels or store brands are generally brands owned, controlled, and sold exclusively by retailers (Sethuraman and Cole, 1999). Store brand grocery items are products owned and branded by organizations, whose primary economic commitment is distribution rather than production (Schutte, 1969). There are basically two kinds of Private Labels namely -Premium private labels and Value...
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...the increasing presence of private label products. Personal or own label products were defined as consumer products produced by retailer itself and sold under the retailers’ own name, logo or trade mark throughout their own outlets. Most often private label brands were manufactured by retailer itself by putting any name or private log on that products. Retail products mostly reduce the cost of production because manufacturer or producers usually do not need to spend heavily amount on that products even private label brands were less advertised. Private or own-label brands enable the manufacturers to achieve the economies of scale in producing or distribution of the products and utilization of more capacity. However, it appears that most own-label suppliers were small regional players not unintentionally playing on the major manufacturers’ field (Hoch, 1996). Past research examined circumstances which craft it nice-looking for a store brand to be introduced to exacting product categories (Hoch et al 1993; Sethuraman and Dhar, 1995). Raju et al. (1999) classified three conditions below which a store brand raises a retailer's categories earnings. First, if the cross price compassion amongst the national brands was low down. Second, if the cross price compassion among the national brand and the store brands was high. Third, if the category has a big number of national brands. Category share was also been studied as a performance assess for store brands. Hoch et al come acrossed...
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...Situation Analysis: KCPL was started in 1945 by Mohan Kumar Gupta, in Jaipur, Rajasthan, under the brand MKG. Between 1946 and 1950 thirty units were set up in unorganised sector in Rajasthan to sell variety of candies. As a result KCPL could not compete on costs and faced financial crisis. He decided to shift the production to another state and reduce costs, in 1954 he bought one and a half acres plot in Kanpur, Uttar Pradesh and set up a new unit, he advertised MKG in the leading newspapers and on hoardings at cross roads. By the end of sixties he was the leader in candies in the northern region. He decided to diversify into making glucose biscuits and selling under MKG brand. The business was profitable but there was a scarcity of maida, sugar and vanaspathi. In 1973-74 KCPL reached number two position in the market, Prince Biscuits was the leader and International Biscuits Ltd. Held the third position. Whereas APL was the overall national leader. In 1980-81 KCPL’s turnover was Rs.2 crores, with a net profit of Rs.20 lakhs, it doubled its capacity from 120 tonnes to 240 tonnes per month. The problem with KCPLwas absenteeism of workers. MKG biscuits were known for their quality, crispness and affordable price. The consumers were middle class families. Competition for KCPL increased with the new units of unorganised sector.Between 1983-84 and 1986-87 its sales declined and it incurred loss (See Exhibit 1). In 1985 Pearson Health Drinks Limited decided to diversify into health...
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...Professor: Brent Barr Student: Jaspreet Banwait Student Number: 500351380 Due Date: April,3,2012 Course: RMG 200 Table of Contents Title Page……………………………………………………………………………….….1 Table of Contents………………………………………………………….…………..2 History of Harry Rosen and Objective………………………….…………….3 Theory 1……………………………………………………………………….…….……..3 Potential Gap at Harry Rosen……………………………………….…………….4 How To Address The Gap and Expected Outcome………………….....6 Theory 2…………………………………………………………………………………….6 Potential Gap at Harry Rosen (2)………………………………………………..7 How To Address The Gap and Expected Outcome……………………..7 Exhibits………………………………………………………………………………………9 Bibliography………………………………………………………………………………11 History of Harry Rosen and It’s Objective Harry Rosen has been recognized as one of Canada's most creative and innovative retailers. Harry Rosen is in the business of assisting men develop a confident, personal image, in all aspects of their life – any day, anytime and any occasion. That’s achieved by offering the ultimate in high quality apparel, expertise, selection and unparalleled service. The objective of the company and their mission is “To Exceed Each Customer’s Expectations” and “to thrive and grow by inspiring a sense of personal style among men of distinction”. The company first started in 1954 where a small shop was opened on Parliament Street in Toronto’s Cabbagetown, with only a down payment of $500. The store was operated by Harry Rosen himself and his brother Lou. The reason they...
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...intention of food private label (Golden Harvest) at Big Bazaar] Submitted By: Group 5 Name Swapnil Bartaria Vaibhav Prakash Vibhu Gaur Vivek Pandey Yogesh Saini Roll No. 140301021 140301022 140301023 140301024 140301025 Acknowledgement We would like to extend our sincere & heartfelt obligation to Dr. Bikramjit Rishi for guiding us during our Business research project work, Without Dr. Rishi Sir’s active guidance, help & cooperation; we would not have made headway on the project. We thank him for his personal involvement in our project finding and helping us through the thick and thin of various aspects of the project. Last but not the least; we would like to express our heartfelt gratitude towards our friends who helped us a lot during our project report. Group 5 Swapnil, Vaibhav, Vibhu, Vivek & Yogesh PGDM Exec 2014-15 Group 5_Private label @ Big Bazaar | Business research method 2 Index: Contents Introduction Problem statement Review of literature Objectives of study Research questions Hypotheses Research design Finding and Data analysis Recommendations Conclusion References Page number 4 4 5 6 6 6 7 8 - 12 13 13 14 -15 Group 5_Private label @ Big Bazaar | Business research method 3 Introduction: Indian Retail sector is dynamic and has turned into one of the world's main 5 worldwide retail destinations. It is evaluated that the aggregate number of shopping centers will develop at the rate of 18.9% by 2015. Private label brands are brands possessed...
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