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Growth in Private Label Causes Branded Products Sales to Slow Down

Posted on the 02 June 2011 by Chrisbrown @ChrisBrown330

 

According to sales reports, the sales of private label mechandise grows during a recession, at 10% and even sometimes at rates of 20%.  In a recent story in the Cleveland Plain Dealer, various consumer products manufacturers talked about how their branded products fared against their private label offerings.  Retailers also provided some information about the results.

So, during a recession, does this spell the end of branding?

I say no.

I expect to read another article in the next few months talking about how manufacturers are trying to take a stand with their branded items and are feeling vulnerable about their private label goods, because the retailer can just switch the manufacturing to another company. 

What are your thoughts?

 


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