If you already have a private label program maybe it?s time to grow your offering or increase your mix because customers are buying more of these products.
According to Wikipedia Private Label goods and services are available in a wide range of industries from food to cosmetics.
Historically these products or store brands were positioned as low cost alternatives to major national and international brands. Today if you read the labeling many of the products are virtually identical and in some cases companies are positioning their brands as better or premium to the large brands.
A great source if education is The Private Label Manufacturer’s Association or PLMA. Their website is www.plma.com. PLMA sponsors an annual show toward the end of each year. This show is full of great workshops as well as manufacturers that would be glad to compete for you business.
According to GfK Roper, 57% of all shoppers now say that they purchase store brands which represents a 21% increase from ten years ago and an impressive 38% growth rate.
E-procurement tools typically assigned to the e-RFX suite are an ideal way to source these products and will help to drive your costs even lower. Start with an RFI to select the companies or manufacturers you are interested in partnering with and then invite the best few to bid for your business.
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