In-Store Marketing: A Weapon for Both Sides in the Private Label Battle

It's no secret that private label or "store-brand" products are taking a larger piece of the pie. The latest statistics - 97% of households buy something private label and 24% of all food and beverages served in the home are house brands - just reinforce the fact that the combination of increased quality in private-label goods and a down economy are forming a perfect storm for the "home-team" in grocery.

However, in-store marketing channels such as Modiv Shopper and Modiv DeliVision represent an opportunity for both sides to sway the very purchase decisions where private-label comes into play - when the customer is picking the item up off the shelf or selecting it on a kiosk... and that item is positioned directly adjacent to its arch-enemy.

It will be interesting to see which side ultimately utilizes these advertising channels to the better effect - private labels trying to woo name-brand buyers with cheaper prices or the CPGs trying to hold their ground with promises of higher quality or discounts to brand loyalists. There is clearly an opportunity for both sides to play - and thrive - with the tactics available to them, such as a private-label message shown after the name-brand competitor is scanned, or a CPG promoting a sister-product nearby.