Hartman Group: Private-label products growing
August 19, 2014 | 04:42 PM
Private-label food products — those sold in grocery stores as products of the store usually at a cheaper price than well known brand names — continue to proliferate but their growth potential varies dramatically, according to a study released by The Hartman Group, a Bellevue-Wash., consumer research organization.
“Private-label options are ever more viable for consumers shopping for dinner ingredients, since the cultural stakes associated with any individual ingredient purchase are lower than when buying ready-to-eat or value-added prepared foods. This is because consumers see themselves as the makers of the end-food experience, not the manufacturer,” says the report written by James Richardson, a Hartman senior vice president for strategy.
But other products have “brand heritage,” Richardson adds.
▪ Hartman Group — Report summary: Not all private-label growth is the same
“Private-label options are ever more viable for consumers shopping for dinner ingredients, since the cultural stakes associated with any individual ingredient purchase are lower than when buying ready-to-eat or value-added prepared foods. This is because consumers see themselves as the makers of the end-food experience, not the manufacturer,” says the report written by James Richardson, a Hartman senior vice president for strategy.
But other products have “brand heritage,” Richardson adds.
▪ Hartman Group — Report summary: Not all private-label growth is the same