28 January 2022

HOW CAN PRIVATE BRANDS DRIVE SUCCESS IN 2022? TED MONNIN, SENIOR CREATIVE DIRECTOR, TAKES A LOOK AT THE EVER CHANGING LANDSCAPE OF PRIVATE BRAND AND HOW THINGS COULD PLAY OUT THIS YEAR.

Between the pandemic’s disruptive effect on supply chains and the rising price of energy, the inflation rate on good is driving prices up, while added demand and increased prices add pressure on consumer pocketbooks. Shoppers will find little relief from the effects of this wherever they steer their carts. Recent projections from market-research firm IRI have inflation for consumer-packaged goods possibly hitting 8% in the first half of 2022 before easing back down to a still-elevated 4% in the latter part of the year.

For retailers it may be a compelling opportunity to increase private brands’ penetration and share of basket as consumers seek ways to keep their grocery spending in check. But how can they do this? Equator provides that roadmap.

 

Competing with national brands

Private brands have been given an advantage, as shoppers look for savings wherever they can, but this isn’t a reason to push price as the primary selling point. Instead, private brands should seize this chance to get even more competitive with national brands through modernising packaging design and building loyalty with customers. The ultimate goal is to make sure people buy these products because they want to, not just because it’s cheaper.

There are a couple of strategies private brands can take, depending on category. Where products stand less chance of competing with a leading national brand – fizzy cola drinks, for example – it’s prudent to tie in some of their color logic to avoid being discounted altogether by customers, for whom those colors signal trust and quality.

However, there are also more opportunities to stand out on shelf by carving out a completely different aesthetic that has its own ‘wow factor’. Some of the most successful private brands have chosen not to have complete consistency across all categories, instead choosing to differentiate with stronger communication and packaging design through color, content and improved consumer focused pack architecture.

 

It’s time to be bold

Some of the most successful private brands have made waves with bold patterns and color combinations, which are impactful on shelf and appeal to shoppers’ needed sense of optimism. By moving away from the traditional color combinations and being more creative and innovative with color, private brands can connect with consumers emotionally and gain trial.

Retailers that take the private-brand mentality further, making things less generic and more ownable or custom, are well-positioned to take more basket share from the leading national alternatives.

 

Engaging emotionally

The notion of fresh starts is already apparent in the design space. Dulux’s Color of the Year 2022 ‘Bright Skies’, is an airy, fresh, light blue, while Pantone’s ‘Very Peri’, is described as a red-violet-infused blue hue that inspires creativity, hope and possibility. Whichever color combinations are presented on pack, those that seek to convey something more profound than rock bottom prices are more likely to achieve success.

 

Story-telling and sustainability

Design that tells a story is the most powerful, and a combination of design and copy will need to be considered here. Photography is, more than ever, something private brands will have to consider in order to set themselves apart. By using non-photoshopped backgrounds and real products that highlight quality and texture, pictured alongside ingredients, private brands can communicate provenance or evoke an aesthetic that signals a whole environment – preparing a time-honoured family recipe for example, or a high-end restaurant experience.

A packaging strategy that communicates values, whether that’s a focus on local produce, consistent quality or sustainability, is likely to have the greatest success. Sustainability in particular is increasingly used as a differentiator for marketing purposes, so key callouts about responsible sourcing, waste reduction and recyclability on-pack shouldn’t be overlooked.

Private brands that focus on recycled materials and recyclability, taking steps such as removing windows to lower plastic use and limiting foils from products, can benefit from consumers’ growing concerns about climate change. Younger consumers in particular are more likely to buy brands they view as holding themselves accountable when it comes to sustainability.

 

The competitive advantage

While consumers will look to make savings where they can, to counter the effects of inflation, extreme value on its own is unlikely to swing many shoppers, who still factor sustainability into their decision-making and – more than ever – seek to buy products that add something positive, hopeful and experiential into their lives. Private brands that position themselves to deliver on these desires will likely hold a compelling competitive advantage in 2022 and beyond.

More Insight

View All
Celebrating Together: Equator’s Milestone with West Michigan and Minneapolis Offices Integration

Celebrating Together: Equator’s Milestone with West Michigan and Minneapolis Offices Integration

05 March 2024 05/03/24

Celebrating Together: Equator’s Milestone with West Michigan and Minneapolis Offices Integration

Hello to our incredible community! We’re thrilled to share a momentous update straight from the heart of Equator. A few months back, we embarked on a transformative journey, integrating West Michigan and Minneapolis into our family. This monumental move has significantly impacted our in-house capabilities and doubled our reach in the dynamic landscape of the […]

Read More
Navigating the Refrigeration Divide: Exploring Ambient Crossovers in Brand Expansion

Navigating the Refrigeration Divide: Exploring Ambient Crossovers in Brand Expansion

16 February 2024 16/02/24

Navigating the Refrigeration Divide: Exploring Ambient Crossovers in Brand Expansion

In the ever-evolving landscape of consumer goods, brands are continually seeking innovative ways to expand their offerings and capture new market segments. A notable trend in recent times is the crossing of the refrigeration divide, where brands traditionally associated with chilled products explore opportunities in the ambient space. One compelling example of this is Tropicana’s […]

Read More
The Evolution and Future of Plant-Based: Navigating the Peaks and Valleys

The Evolution and Future of Plant-Based: Navigating the Peaks and Valleys

02 February 2024 02/02/24

The Evolution and Future of Plant-Based: Navigating the Peaks and Valleys

Has Plant Peaked? In recent years, the plant-based movement has experienced a surge in popularity, with an increasing number of consumers embracing a plant-centric lifestyle. However, as with any trend, questions arise about whether plant-based has peaked and what lies ahead for this burgeoning market. In this blog post, we’ll explore recent fluctuations in customer […]

Read More
2023 ‘unwrapped’ – another year of creativity and change

2023 ‘unwrapped’ – another year of creativity and change

02 January 2024 02/01/24

2023 ‘unwrapped’ – another year of creativity and change

With 2024 finally upon us, it comes a time to look back and reflect on another fantastic year we have had at Equator. While not everyone may be up to speed with the endeavours of our collaborative creatives over the last twelve months, fear not – now is your chance to catch up! In this […]

Read More
What is Sunrise 2027 and how can brands prepare for it?

What is Sunrise 2027 and how can brands prepare for it?

19 December 2023 19/12/23

What is Sunrise 2027 and how can brands prepare for it?

Throughout history, finding new and better ways of doing things has been a driving force for innovation. Not much is immune to optimisation, which is why it’s so strange to see things remain unchanged for decades. Funnily enough, one of those things is the barcode – specifically, the Universal Product Code (UPC), which has been […]

Read More
People Power and Private Brand – Global Creative Director Michael Duffy’s End of Year Review

People Power and Private Brand – Global Creative Director Michael Duffy’s End of Year Review

06 December 2023 06/12/23

People Power and Private Brand – Global Creative Director Michael Duffy’s End of Year Review

With the end of the year fast approaching, I’ve found myself reflecting on the experiences we’ve had over the past 12 months; from the projects we’ve worked on to the trends we’ve observed. I wanted to take this opportunity to share a few insights, including the developments we’ve seen in the world of private brand, […]

Read More
Tidings of Comfort and Joy: Our Predictions For This Year’s Festive Trends

Tidings of Comfort and Joy: Our Predictions For This Year’s Festive Trends

13 November 2023 13/11/23

Tidings of Comfort and Joy: Our Predictions For This Year’s Festive Trends

At Equator, we use every tool at our disposal to identify, analyse and predict seasonal trends. It helps us track and plot how they evolve year on year, giving our clients an edge when it comes to creating seasonal designs that sparkle on shelf. Last year, before summer had even drawn to a close, we […]

Read More
What pet food trends should producers focus their development efforts on in 2023/24?

What pet food trends should producers focus their development efforts on in 2023/24?

04 September 2023 04/09/23

What pet food trends should producers focus their development efforts on in 2023/24?

As a design agency that frequently handles innovative pet food packaging projects, our team turned its attention to the pet food trends producers need to know, to stay ahead of the pack. In this blog post, you’ll find all of our insights consolidated into an easily digestible format (uh oh, we’re drifting into on-pack parlance) […]

Read More
Previous Slide Next Slide