New Lowe's Essentials Private Brand In Stores

Just before Christmas, Lowe’s CEO Marvin Ellison revealed the home improvement retailer would launch its new Lowe’s Essentials private label brand, which includes an assortment of home items priced at $10 or less.

While own brands or captured brands are nothing new for Lowe’s, Ellison noted the new brand was developed to give shoppers products at a great value but also great quality at a value.

“Rather than having a customer go to a dollar store environment, or even to a mass merchant for a lower price for a home goods item, we’re going to create a brand (with products) at opening pricepoints,” Ellison said during an interview with CNBC.

Recently, Store Brands spoke with Sarah Dodd, senior vice president of Global Merchandising at Lowe’s, who discussed the motivation behind the new private label and the types of products that are included in the new line.

STORE BRANDS: What inspired the creation of the Lowe’s Essentials private label, and how does it fit into the company’s overall private brand strategy? 

SARAH DODD: Lowe’s Essentials stems from our commitment to meeting homeowners’ needs for affordable, high-quality everyday items. With all of our own brands such as Kobalt, Project Source, allen + roth, and more, we’re building a stable of products that are high quality, high style, and high performance while giving consumers a tremendous value. 

SB: How does Lowe’s Essentials differentiate itself from other private label brands in the home improvement space? 

SD: Lowe’s Essentials is a quality basics brand that offers consumers tremendous value on products they use day in and day out like gardening tools, plastic storage bins, closet hangers, and more. The vision is to ensure everything in this brand remains at $10 and under.

SB: What types of products are in the line?

SD: The collection offers a range of household necessities and home improvement basics, designed to help homeowners tackle projects affordably. Currently, in preparation for spring, we have grill bushes, hand garden tools, keeling pads, and citronella candles to get yards in spring shape.

SB: What is the price range for products?  

SD: Helping customers maximize their budgets with cost-effective items is a priority for these basics, so all items are available for $10 and under.

SB: Is the assortment static, or will there be new products added and removed over time?

SD: We are focused on delivering the best products at a great value, so we will continue to test how our customers respond to these private label products and enhance our offerings to meet their needs. Throughout the year, Lowe’s Essentials will continue to expand both online and in-store, offering even more practical solutions for every season.

SB: What consumer insights or market research influenced the decision to develop this line?

SD: Consumers today define value as choice and look for an array of price points from which they can shop – especially millennial homeowners. Lowe’s Essentials gives consumers “choice” when they simply need the basics for their home, reinforcing Lowe's as a trusted source for home necessities at a great value. 

SB: How does Lowe’s Essentials compare to existing private label brands at Lowe’s in terms of positioning and pricing? 

SD: Lowe’s Essentials focuses on opening price points across home improvement basics. This is by design so that homeowners have the benefit of choice when it comes to value shopping.

SB: Moving forward, will Lowe's look to expand the Lowe’s Essentials brand along with Lowe’s other private brands?

SD: Lowe’s takes pride in all our owned brands and looks forward to continuing to bring helpful products to our customers. We’re excited about the value and quality the Lowe’s Essentials line offers, and we’re always evaluating opportunities to enhance our offerings to meet customer needs.