Analyst firm Hartman Group recently released a blog post discussing how private brands are adapting to the last year and a half of market changes during the COVID-19 pandemic.
Hartman Group’s Food Sourcing in America report showed that consumers tend to intrinsically trust a private brand if it comes from a retailer they already trust. Private brands can also impact the customer’s trust of the retailer.
With reduced reliance on “brands” in guiding shoppers’ choices, the Hartman post said that retailers have a unique opportunity with their private brands to make themselves a differentiated private brand destination, and convert shoppers to their own brands.
The report said that a good selection of private brand products is the number one driver of trust, number two driver of store recommendation, and number three driver of trip satisfaction. In the survey included in the Food Sourcing in America report, shoppers consistently said that retailers like Trader Joe’s, Costco and Whole Foods Market have a good selection of private brand products.
“In today’s volatile, rapidly changing food and beverage marketplace,” said Hartman Group, “it is vitally important to understand shoppers’ evolving path to purchase —how shoppers perceive your offerings and how you can connect with them in meaningful, lasting ways.”
The full report can be found here.