AlinaWheeler-DesigningBrandIdentity

Brand forcesPrivate labelingFor many retailers, private labeling has become a powerful marketing strategy tobuild brand equity and a differentiator that gives consumers more reasons to shopat their store. The perceptual shift has begun from low quality to value-added,accelerated by more upscale and better designed packaging, combined with insightsabout consumers’ unmet needs.The days when you could recognize a privatelabel brand immediately because it lookedgeneric, cheap, and low quality are over. Initially,private labeling was a business strategy aimed athigher profit margins per product and increasedrevenues. A private label product line is createdand branded by a store, usually a large retailchain. The products themselves are producedby a third-party supplier, which usually makesother name brand products for establishednational brands. Companies like IKEA use themaster brand on all of their products, whilecompanies like Safeway and Aldi createmultiple brands.We are trying to build brand propositions thatare exclusive or proprietary...and unique in solvingcritical consumer need states.James White, SVP, Corporate BrandsSafewayWe upped the quality, uppedthe price, and we’re sellingmore units. Because it’s thebest tuna you could buy.Richard GalantiChief Financial OfficerCostcoThe new design has abetter brand billboard andmuch more appetizing foodphotography. And we are notjust dressing up the outside.We have worked hard on whatwe are putting on the inside.Andrea ThomasSVP, Private BrandsWalmart76