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Private labels: On the fast track
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The private label is emerging as a new business model in the dogfight world of Indian retail. Growth in private label sales appears to be coming more from consumers as the taste and preferences are changing due to change in lifestyles and spending patterns which in turn is giving rise to new business opportunities for the Indian retailers. Private label retailers are bridging the gap in their product mix and are targeting the specific needs of the Indian consumers and are relying heavily on Private labels. The Paper is fully review based. The aim of the research is to determine the motivators for retailers to introduce Private Label Brands. To mention the growth of private label brands in various categories and the reasons why Private Label Brands are preferred? In this paper some leading private label brands has been discussed. This paper has shown that the Private Label Brands are expanding into many categories like FMCG, Apparels, Consumer Durables, Home Care etc. As Private Label Brands has high gross margin, low cost, increased bargaining power, low cost on R&D, reduced costs in packaging, product design and advertising, retailers are motivating to introduce more and more Private Label Brands in the market.
Keywords
Consumers Preference, Private Label, Perception
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