Private label

Private label is the retailer's own brand: products made for the store and placed under its name next to manufacturer brands. For the retailer it means margin, bargaining power and a reason for store loyalty; for manufacturers it is the competitor that is simultaneously customer and shelf manager. In many categories private labels have become full brands, with quality tiers up to premium. The manufacturer brand's defence follows the familiar laws: real product advantage, strong distinctiveness and mental availability, because on price the private label wins and in the shelf battle the opponent is also the referee.

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