Local Makers Play A Big Role In Market of Choice's New Private Label
The growth enjoyed across the private label sector in recent years has been driven, in part, by retailers looking for opportunities to utilize their own brands to offer shoppers a unique selection of products.
This strategy is a key factor in the recent launch of Market of Choice’s Craft & Kitchen private label. To develop the new product line, the Oregon-based regional grocer partnered with makers and chefs in the Beaver State, calling Craft & Kitchen a celebration of Oregon makers.
“We are creating unique recipes in collaboration with local artisans that elevate our customers’ food experience while aligning with our core values and unwavering support for local makers, keeping dollars in the local economy, and delivering products to customers that taste great,” said John Boyle, chief merchandising and marketing officer at Market of Choice.
The initial assortment includes:
- Fruit spreads by Oregon Growers
- Honey by Oregon Growers
- Milk by Umpqua Dairy
- Eggs by Wilcox Family Farms
- Mac & Cheese by Rallenti Pasta
- Pastas by Rallenti Pasta
- Local Heat Tortilla Chips by Hot Mama Salsa
- Pasta sauces by Paradigm Foodworks
Boyle spoke with Store Brands about the development of the new line, the challenges a regional grocer faces when developing its own brand product line, and the relationships between Market of Choice and its suppliers.
STORE BRANDS: What was the inspiration behind the development of Craft & Kitchen?
JOHN BOYLE: A few months ago, I was sitting with some of my team, and we were talking about the state of our local food ecosystem, which is rather vibrant here in Oregon. Lately, there have been a lot of challenges facing smaller makers, ranging from supply chain to raw materials. We have a rich history of supporting local makers and the local community. We started to talk about doing something different for us that would allow the makers’ businesses to grow and allow our business to grow. We met with the local makers to develop products that were different from what we already offer. The one thing we didn’t want to do was cannibalize any product we already had on the shelf.
SB: Were there any challenges initially to get the new product line moving forward?
JB: One of the biggest ones was that we were working with small companies that had only a few employees. And everything these companies do is artisanal, and they did not have full production lines. They had to find ways to expand their capacity to make the quantities we needed. We also took responsibility for sourcing packaging and ingredients that they had trouble finding. It was really about sharing every step along the way.
SB: What factors led to the selection of the initial products in the line?
JB: We started with some of our top categories to see if there was room for new products in our assortment. We were looking for items that were organic and captured current consumer trends. And once we identified products, we turned to our local maker partners and worked with them to produce the products. As part of the R&D process, we invited a small group of our customers to taste the products and give us feedback and suggestions.
SB: How is the new private label line being marketed to shoppers?
JB: We have built up a lot of trust with our shoppers over the years and understand that while the economy is a challenge now for some, our customers are also looking for products that support local companies. To highlight the new products, we’re using our usual marketing vehicles and digital platforms. We also featured each of the makers on our website, which included videos of them. The vendors also do marketing of their own, so we’re really working on both sides to get the word out.
SB: Since these new items are specific to Market of Choice, do they provide another point of differentiation from competitors?
JB: For sure. We’re Oregon’s largest independent and will soon have 12 stores and 1,400 team members. During peak growing season, people really look to us for local products. During the summer, we’re up to about 7,000 local products in our stores.
SB: Do your customers have a great deal of familiarity with the local companies that are supplying products to Market of Choice’s private label assortment, possibly having seen them at a local farmers market?
JB: We actually do our own Product Experience Show, usually every other year, down in Eugene, where our corporate offices are located. We got about 200-plus vendors, and about 1,500 attendees. They get to sample products from local makers. The show was originally done to have our employees come and meet these awesome local makers, allowing them to put a face and name to the products. Our customers now also have an opportunity to meet the makers and see what’s behind their products.
