Advertisement

Buying of Private Labels Across Categories: How Far Is too far?

  • Magda Nenycz-ThielEmail author
  • Jenni Romaniuk
Conference paper
Part of the Springer Proceedings in Business and Economics book series (SPBE)

Abstract

This paper examines consumers’ behavior towards UK private labels (PL) across four categories: soft drinks, chocolate, banking and fuel. The results show that cross-category PL purchasing is stronger between related categories and PLs from the same tiers. However, the relationship is weak to non-existent for unrelated categories (chocolate and banking). These findings provide implications for retailers regarding the stretch ability of PL brand’s strategy across categories and across different PL quality tiers. The findings also provide insights into the potential to cross sell PLs in unrelated categories to current PL buyers.

Keywords

Private Label brands Cross-category buying Brand extensions 

References

  1. Aaker, D., & Keller, K. L. (1990). Consumer evaluations of brand extensions. Journal of Marketing, 54, 27–41.CrossRefGoogle Scholar
  2. Alexander, N., & Colgate, M. (2005). Customers’ responses to retail brand extensions. Journal of Marketing Management, 21(3–4), 393–419.CrossRefGoogle Scholar
  3. DelVecchio, D. (2001). Consumer perceptions of private label quality: the role of product category characteristics and consumer use of heuristics. Journal of Retailing and Consumer Services, 8(5), 239–249.CrossRefGoogle Scholar
  4. Erdem, T., & Chang, S. R. (2012). A cross-category and cross-country analysis of umbrella branding for national and store brands. Journal of the Academy of Marketing Science, 40(1), 86–101.CrossRefGoogle Scholar
  5. González-Benito, Ó., & Martos-Partal, M. (2012). Role of retailer positioning and product category on the relationship between store brand consumption and store loyalty. Journal of Retailing, 88, 236–249.CrossRefGoogle Scholar
  6. Hem, L. E., Iversen, N. M., & Olsen, L. E. (2014). Category characteristics’ effects on brand extension attitudes: A research note. Journal of Business Research, 67(8), 1589–1594.CrossRefGoogle Scholar
  7. Laforet, S. (2008). Retail brand extension—Perceived fit, risks and trust. Journal of Consumer Behaviour, 7(3), 189–209.CrossRefGoogle Scholar
  8. Nenycz-Thiel, M., Beal, V., Ludwichowska, G., & Romaniuk, J. (2012). Investigating the accuracy of self-reports of brand usage behavior. Journal of Business Research, 66(2), 224–232.CrossRefGoogle Scholar
  9. Nenycz-Thiel, M., & Romaniuk, J. (2010). Is a “Premium” private label brand for a marketer seen as a “Premium” by a consumer? The perceptual categorization of the private labels tiers. Advances in Consumer Research, 37, 870–871.Google Scholar
  10. Nenycz-Thiel, M., & Romaniuk, J. (2011). The nature and incidence of private label rejection. Australasian Marketing Journal, 19, 93–99.CrossRefGoogle Scholar
  11. Nenycz-Thiel, M., Sharp, B., Dawes, J., & Romaniuk, J. (2009). Competition for memory retrieval between private label and national brands. Journal of Business Research, 63(1), 1142–1147.Google Scholar
  12. Richards, T., Yonezawa, K., & Winter, S. (2015). Cross-category effects and private labels. European Review of Agricultural Economics, 42, 187–216.CrossRefGoogle Scholar
  13. Sunde, L., & Brodie, R. J. (1993). Consumer evaluations of brand extension: Further empirical results. International Journal of Research in Marketing, 10, 47–53.CrossRefGoogle Scholar
  14. Szymanowski, M., & Gijsbrechts, E. (2012). Consumption-based cross-brand learning: Are private labels really private? Journal of Marketing Research, 49(2), 231–246.CrossRefGoogle Scholar
  15. Woodside, A. G., & Trappey, R. J. (1992). Finding out why customers shop your store and buy your brand: Automatic cognitive processing models of primary choice. Journal of Advertising Research, 32, 59–78.Google Scholar
  16. Woodside, A., & Trappey, R. (2001). Learning why some customers shop at less convenient stores. Journal of Business Research, 54, 151–159.CrossRefGoogle Scholar

Copyright information

© Springer International Publishing Switzerland 2015

Authors and Affiliations

  1. 1.Ehrenberg-Bass InstituteUniversity of South AustraliaAdelaideAustralia

Personalised recommendations