Consumer perceptions of store brands versus national brands

Abstract

PurposeThe objective of this study is threefold. First, the authors want to use taste tests to assess how four store brands that are differently positioned compare to one national brand in terms of perceived brand equity. Second, the authors want to investigate whether brand equity of store versus national brands is determined by current brand loyalty towards these brands. Third, they want to find out whether store patronage has an influence on perceived brand equity of store versus national brands.Design/methodology/approachA total of 225 consumers were involved in a repeated measures design involving two within‐subject factors: a blind and non‐blind taste test of five orange juice brands. Across our three objectives, we describe the impact of the retailers' positioning strategies on the results generated.FindingsThe results confirm the common belief that private label products can offer the same or even better quality than national brands, but at a lower price.Originality/valueUntil now, hardly any study incorporates the differences in positioning objectives of retailers and national brand manufacturers. Nevertheless, as is true for any brand, positioning of a store brand can exert an important influence on its performance.

Modelling consumer responses to an apparel store brand: Store image as a risk reducer

“…Many terms are used to denote various forms of retailers' private labels, such as private brands, store brands, own brands, retailer brands, wholesale brands and distributor's own brands (Håkansson, 2000;Moore, 1995), all of which appear to be used interchangeably in the literature (Ailawadi et al, 2001;De Wulf et al, 2005;Richardson et al, 1996a;Sayman et al, 2002;Sethuraman, 2003). Nonetheless, consumers respond in different manners to different types of own brands.…”

Measuring the influence of customer-based store brand equity in the purchase intention

“…These brands benefit consumers by providing them a competitive alternative to manufacturer brands based on lower prices, due to their lower manufacturing and overhead costs, their less expensive packaging and the lack of advertising (Cunningham et al 1982;Dick et al 1995). Store brands generally use price as the driving force behind their own marketing mix (Beristain et al, 2011); however store brands have evolved throughout time and nowadays are no longer simply category killers; and furthermore some of them positioning as premium price options (De Wulf 2005). There is little research on store brands applying Aaker's (1991Aaker's ( , 1996 Brand Equity model, in order to assess the influence of its dimensions or sources on purchase intention.…”

“…Since the classic researches of Aaker and Keller, Brand Equity has been broadly tested for manufacturer brands (Yoo et al 2000;Chernatony et al 2003;Atilgan et al 2005); whilst there is a lack of research on store brands' equity (De Wulf et al 2005). Based on previous contributions, we define store Brand Equity on similar elements as any man-ufacturer brand, applying Aaker's (1991Aaker's ( , 1996 customer-based Brand Equity model, despite store brands seem to offer a better price-quality relationship than manufacturer brands, since they are targeting and meeting a specific consumers' demand.…”

The Perceived Quality of Store Brands: The Effect of Price Promotion and Quality Guarantees

“…Although they have been growing as major competitors for national brands, store brands have not as yet experienced much research to explain consumers' perception of those brands (Cataluna, 2006;Richardson, 1997;Wulf et al, 2005). Store brand literature has not focused on how promotion might affect the perceived quality of store brands.…”

“…Although store brands have been studied to a great extent in the current literature, the effect of promotion on store brand quality has not received as much attention. Since product quality is important for the success of store brands (Erdem et al, 2004;Choi & Coughlan, 2006;Wulf, 2005), understanding the effect of different marketing practices on the perceived quality of store brands needs to be further considered.…”