Australian Retailers Need to Engage with Private Labels to Achieve Competitive Difference

Private label growth in Australia has not kept pace with the growth in private labels elsewhere. This research paper establishes that the odds of a consumer being highly pleased with a store label product when they are supportive of the quality of private labels, is more than the odds of the consumer being highly satisfied when purchasing private label products simply because they are priced significantly lower than manufacturer brands. It would therefore be useful for Australian retailers to increase investment in private label programs including changing their customers’ attitudes to the quality of private labels if they are to stay competitive.