Almost two-thirds of our respondents agreed that "some
store's store brands are better than other store's store
brands." Comments supporting the statement let us know that some
store brands are not just better, they are best. The best ice cream,
meat loaf, corn chips, chocolate bark, cookies, salads, coffee blends,
frozen rack of lamb, even toilet paper. Note that no one mentioned a
best drug or discount store brand of vitamins, herbals, analgesics,
first aid products, or other meds where the usage of store brands is
very widespread. Presumably, this is because it is hard to know which
aspirin, ibuprofen, or herbal mixture is better than another, but
something else may be going on, perhaps something to do with the
advertising muscle that continues to support name brand name
medications.
In any case, grocery store brands are moving out of the world of
commodities and into the value-added, and usually more profitable, world
of national (now increasingly international) brands. It is also clear
that Trader Joe's has built a reputation for store brands that not
only differentiates it from other stores but also plays a role in
changing many consumers' perceptions of how good store brands can
be.
In other cases, as per the Kraft comments above, some consumers are
buying store brands because the "prices for name brands are
ridiculous." One consumer told us that she'd really like to
support branded milk because she believes that more of it comes from
family farms, but "the price difference between the branded milk
and the store brand is unconscionable. I suspect that the store is
keeping the prices of the branded milk higher than they should, but they
have us trapped."
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