How to Increase Grocery Store Private Labels' Quality Perception

By Dario Lo Turco

Master's Thesis from the year 2015 in the subject Business economics - Offline Marketing and Online Marketing, grade: 2,0, University of Hamburg, language: English, abstract: The focus of this thesis is on the grocery retail market and more specifically on the store s private labels. It is interesting to analyse this area because of the strong competition between products and the way customers assess quality to the different items in such a context. Research shows that private label brands suffer from a low quality image compared with national brands. The main reason for such a bad quality perception is not so much linked with the ingredients quality, but rather with the poor private label product image itself. Based on the situation outlined above, the objective of this master thesis is the development of an appropriate strategy in order to increase grocery private labels quality perception. This work studies four different issues: The customer s evaluation of product quality, the identification and analysis of the causes of the low store labels quality image, the comparison between national and store brands, and the relevance of Price, Country of Origin, Package and Brand in product excellence evaluation. There is a long history of research that demonstrates that consumers frequently use extrinsic cues to infer product quality. Therefore, management's strategy to target the most price-elastic shoppers by discounting their store brands and investing low resources on extrinsic cues like brand, package and advertisement may actually not be the right decision. National brands can claim a much more successful brand image in comparison with store brands. They are perceived by the customers as "better brands" and are seen as more reliable, trusted, higher quality, innovative, and exciting. To the contrary, consumers view store brands as approachable and strongly associate them with value, but do not think of them as distinctive, authentic, daring, or innovative. On

• Format: Paperback
• Language: English
• ISBN: 3668396825
• ISBN13: 9783668396821
• Release Date: March 2017
• Publisher: Grin Verlag
• Length: 68 Pages
• Weight: 0.22 lbs.
• Dimensions: 0.2" x 5.8" x 8.3"