Driving Fresh and Healthful Products in Private Label

Michael Duffy offers thoughts on how retailers should be using their growing private label assortments to enhance their connections with shoppers.

Private brands are in a critical moment, as customers look for allies in battling the cost-of-living squeeze. 

Inflation has been ugly, particularly in food prices, not to mention tenacious. The day-to-day experience of this has left customers looking for the good: both in seeking good value and in keeping an eye out for a positive response from food and drink retailers. A gesture of solidarity, so to speak.

Are private brand retailers meeting this moment effectively? Well, offering good products for good value is absolutely vital as a starting point, and a strong suit for private brands. But there’s much more work to do.

There is a trust-building opportunity to be had if, in reaction to the change in consumers’ lifestyles, private brand retailers also demonstrate a shift in gear.

If you’re in business, then you likely caught wind of the growing momentum around taking a “whole person” approach to human resources management. Briefly, this refers to broadening the focus traditionally maintained on job-related skills and experience, to consider employees as “complex beings with physical, mental, social, spiritual, and emotional needs that should be considered at work.” (Hirevue.com)

A “whole consumer” approach works in a similar way.

Is it customer-centric? Certainly. But where a consumer-centric approach could be construed as relatively short-lived - focusing on or around the point of sale or the act of communicating with a customer - a whole consumer approach tends to encompass a longer timeline, in which layers of trust and a feeling of being supported by the brand may be established.

The consumer’s wellness journey is at the heart of this approach. With a majority of consumers still reeling from the effects of uncertainty and upheaval thanks to the tumultuous past few years, the most effective approach may be to adopt a softer and more nuanced way of interacting with and being there for consumers, which puts their physical and mental wellbeing at its core.

Vox pops and anecdotal evidence coming in from the man or woman on the street typically involves a lament about inflation and the perceived roaring profit margins being enjoyed by major supermarket chains. The complaint that retailers “don’t care about the consumer and charge whatever they want” has become commonplace.

When offering more matters more

By leveraging their unique private brand offerings, retailers may be able to avoid some of this negative sentiment. Not all supermarkets need to be painted with the same brush, after all.

Nor do all private brands need to lose the high levels of trust gained during the pandemic. In fact, private brands benefit from an undeniably strong position as households face spiralling prices in everyday costs, according to analysis. 

Where private brands could squander this opportunity and fail to meet the moment, however, is by undermining the consumer experience by presenting “value” private brand ranges populated with the unhealthy and the uninspired.

Driving fresh and healthful products is vital to the evolution of the modern private brand. One retailer doing just that is Seattle-area grocer Town & Country Markets, which recently rolled out a new private brand range entitled EveryDay Milk, which features colorful employee-designed artwork on its packaging. At the same time, it debuted a new line of sushi (of up to 65 core items) under its private label brand, Maka. Changing from its previous sushi selection of three third-party brands to use just one supplier meant a more streamlined offering, with a fresher concept, and a stronger customer experience in-store thanks to the introduction of sushi counters in all of its locations.

There’s great power in this sort of positivity, and no shortage of intelligence in focusing on building differentiation and uniqueness to enhance everyday assortment in order to stimulate growth.

Design with shopability in mind

Private brands can also maintain trust and meet the needs of their consumers by doing more to communicate how their products align with their needs. There is nothing more frustrating than having to interrogate a piece of packaging to ascertain whether something is nutritious.

This could call for a refreshed look and feel across existing ranges, or a complete recreation of packaging to achieve a more subtle, wholesome aesthetic, which can be done without losing any of its on-shelf standout. In fact, when done correctly, the fresh look and feel will both catch the eye and help to immediately convey the product’s attributes. This will help the customer to better navigate the items they want and need, saving them time and frustration.

Feeling heard, seen and reassured at the shelf edge can help to soften some of the blows customers are experiencing as a result of the cost-of-living squeeze, putting private brand retailers in a position to retain the advantages and positive perception they gained during the pandemic. 

For some brands, relatively small changes can have enormous impact. Demonstrating that a private brand is, indeed, responding to the moment, and that they are now, and will always be, on the side of their customers – what better way could there be to build mutual respect and trust? 

Michael Duffy

An Equator US co-founder and partner since the agency’s inception, Global Creative Director Michael Duffy has been delivering impactful brands and industry-leading creative for more than 23 years. Driving Equator’s growth from both studio and boardroom, Michael leads the company's worldwide creative teams, ensuring that Equator leverages its unique culture, talent and end-to-end practice to the full, with particularly focus on fomenting opportunities for collaboration across our business and with clients to elicit insight-centred, category-defining design.

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