Sage-Tips

Is there a difference between store brands and name brands?

The only difference between the store brand and the major brands is price and packaging. SPICES: essentially, these are the same products whether you buy the name brand or the store brand. MILK: unless you are buying organic milk, the store brand milk is often right from the same dairy you recognize.

Why do grocery stores have their own brands?

They give the chains a way to set themselves apart from the competition and enable them to offer their customers more choice. Historically, store brands signified good value for consumers while national brands were generally seen as the premium item in a category.

Why do American grocery stores still have an ethnic food aisle?

That aligns with the ethnic aisle’s original purpose: to serve returning World War II soldiers who had tasted foods from countries like Italy, Germany and Japan while abroad. But while many of the European foods eventually migrated out of the section, most of the foods from other parts remained.

Are store brands are often made in the same factory as name brands?

Consumers have also gotten clued in to the fact that many “generic” store-brand foods are actually made by the same companies that produce the higher-priced name-brand stuff. Even so, it’s still common for store brands to cost 25\% to 30\% less than their name-brand equivalents at full retail prices.

Why are store brands cheaper?

The reason they’re cheaper is that most store brands spend less on research and development, marketing, and advertising than national brands. Store brands simply stick new labels to existing products to keep the costs low, notes Money Crashers. This allows them to pass on the savings to their customers.

Are store brands just as good?

Heather confirms that store brand foods are just as safe as name brands. Quality and personal preference may vary by brand but there are many store brand items that are just as delicious.” And in fact, some store brand foods are the same exact food as a name brand, just in different packaging.

Who makes Kroger brand items?

Kroger outsources 60 percent of its private brands for manufacturing, including all items for non-food private brands. One of Kroger’s suppliers is Ontario, Calif. -based Niagara Water, which manufactures 90 percent of Kroger’s bottled water.

What are some of the drawbacks of using store brands?

The major drawback of store brands can be the perception that they are “generic,” or of lower quality than national brands. Store brands have done well at cutting into the perception of inferiority relative to national brands. Increasingly, consumers indicated a willingness to buy store brands.

Why is brand more expensive than generic?

Why brand-name drugs cost more than generic drugs Brand-name drugs are typically more expensive because of the higher initial costs to develop, market, and sell a brand-new drug. Other drug manufacturers are only allowed to make generics after the patent or exclusivity rights expire.

Why are store brands so much cheaper?

Why do customers prefer certain brands over others?

This is because they seek a certain amount of trust while making their purchases. They believe that trustworthy sellers are capable of offering more value with every purchase. It takes time and a lot of effort to ensure your business is preferred by consumers. Here are some reasons why customers prefer certain brands over others:

Are store brands better or worse than national brands?

Asked “In general do you think that store brands are usually better, the same as, or worse than national brands,” 3 percent said better, 78 percent said the same, and 18 percent said worse. National brands produce and package a wide variety of store-brand products.

How do retailers choose the brands they carry?

How Retailers Choose the Brands They Carry 1. Look Beyond What’s Trending Now. Different retailers look for different styles and trends, but if your brand is only… 2. Stay True to Your Brand Identity. Understanding your brand’s identity will help locate it within the larger market. 3. The Fashion

How does Distributor pricing work in the grocery store?

1. Different Distributor Pricing. Supermarkets pay different prices for the same product through distributors. Some stores pay what’s listed in the distributor’s catalog, while others get a blanket discount off of all products, based on volume. The more product (collectively) that a retailer purchases, the larger their discount.