Saturday, January 21, 2012

Do legacy brand managers matter in a world of private label managers?

What is the role of the legacy national brand manager in a world where private label is branded? National brand manufactures all of whom are highly valued continue paying slotting fees to grocery stores and supermarkets as the easiest way to reach the consumer.  The slotting fees continue to go for space on the shelf. Currently many companies key location End Caps are now being filled with the stores own private label products. Legacy national brands are cutting back in paying for end caps it may be time to stop the paying the slotting fees as well. 

The brand managers of the private label products have are utilizing a tool out of the National Brand Managers playbook to build loyalty, reinforce value and generate additional sales and profits for the store and their particular private label product.  They are taking the end caps for themselves!

Price Chopper is utilizing what they call “power displays”. Wal-Mart is utilizing the end caps to reinforce value of their private label products and consumer is picking them up! Wegmans gets the customers coming and going utilizing the vestibules with the likes of Wegmans private label potato chips and the next week Wegmans own canned tuna and their own mayo for example.

Deep in the store the private label battle continues with ready-2-eat and heat-N-eat fresh prepared portable food.  Most prepared fresh in store and in most cases right in front of the customer.  Private Label Grocerant ready-2-eat and heat-N-eat food now has brand managers of there own and they are building sales not slotting fees.   

Outside eyes can deliver top line sales and bottom line profits.  Invite Foodservice Solutions® to complete a grocerant program assessment, brand, product placement or positioning assistance.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche visit Johnson, or

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