Big Boxes Put The Squeeze On Branded Goods

from Crain’s Chicago Business: According to consumer research firm Leo J. Shapiro & Associates LLC, which conducts an annual brand preference survey for trade magazine DSN Retailing Today 81% of consumers had a brand preference for groceries and canned foods in 1996. This year, only 63% of consumers said so.
With the massive growth of discount retailers, or big box stores, consumers are increasingly purchasing on price. And because retailers control shelf space, companies like Kraft or Sara Lee can’t put much pressure on private labels.
Yet brand powerhouses seem to be taking the news in stride. “In the past year, we’ve found that if you have your brand value equation right



About David Burn

I wrote my first ad for a political candidate when I was 17 years old. She won her race and I felt the seductive power of advertising for the first time. Today—after working for seven agencies in five states—I am head of brand strategy and creative at Bonehook in Portland, Oregon.