A Study on Performance of Private Labels in Modern Retail Chains in Bathinda

Abstract

Store brands are those products which are developed by a retailer and available only on sell in their own stores; some retailers may try to utilize this measure of exclusivity to differentiate them from others. So, project titled A Study on Performance of Private Labels in Modern Retail Chains in Bathinda-A Study of Food Products in Bathinda was conducted during 2017-18.The report is based on both Primary data and Secondary Data. The primary data was collected from the consumers and the store managers. Measures of central tendencies and relevancy co-efficient were used as an analytical tool. Major findings of the study were: Product ranges in store brand were found in various categories like staples, pulses, spices, processed products, beverages and other products. The various types of strategies were followed in pricing of store brands and it was observed that price is low in comparison to national brands, in some products where there were less national brands in competition price are set by the store brands by its own. Consumer perception towards private labels was positive as they believed that private labels were cheap and are of better quality and trustworthy. The first purchase was mainly due to the promotional offers, just for a change and display in the stores. The study was practically helpful in understanding that national brands have to gear up to the private label competition, more efforts to be made to achieve a shift in consumer perception on private labels as cheap alternatives to national brands to products with high quality with proper marketing mix and private labels should enter in product ranges with strong presence of national brands to gain bargaining power from them.