Another story you’ll only find here at Lairig Marketing, as the rest of the marketing world ignores it or, more likely, doesn’t understand the implications…
Back in the day, we were the only ones to dissect the data on private label sales. While everyone else was oohing and aahing and predicting private label as the “NEXT NEW THING,” we told you this:
“If the private label sector ruminates a bit on the PLMA 2010 sales data, it might find that being so private about marketing fundamentals will make 2011 results look even worse.”
Well, the data is in (or the data are in, for you English majors).
The SymphonyIRI Group published a report “Brand Positioning in the New World Order,” comparing private label to branded product sales through the end of August 2011.
Once again, private label’s share of unit sales fell, reverting closer to its 2008 share level. So much for the “future” of the new normal.
And private label’s share of dollars? It continued to edge up, which as we told you before is the wrong strategy long term. Private label will rue how slow it was to learn the concept of “price elasticity.”
Watch, soon, as other marketing bloggers start getting wise to a reborn recession (which, so far, Lairig Marketing is the only one to make the claim). They will herald private label as the savior.
Here is the real recession learning, courtesy of the private label gang:
If you are not currently #1 or #2 in your category, or in your category’s growth rate, you are f*cked for the next six months or so. Keep your focus on your best customers, spend wisely, and make the best of it.