• by Jack Loechner , Staff Writer, April 14, 2010

Findings from a study conducted by Ipsos Marketing, Consumer Goods, show that, while store brands have built their foundation on distinguishing themselves as a good value in terms of low cost, consumers believe store brands provide much more than that. At least 80% of global consumers indicated that store brands are the same as or better than national brands on meeting their needs, offering convenience, being good for their families, caring about the environment and exuding trust.

Gill Aitchison, President, Ipsos Marketing, Global Shopper & Retail Research, says "... store brands are challenging national brands on a number of key brand attributes... (and that is) very alarming for national consumer packaged goods marketers."

Global consumers are confident that store brands perform just as well as national brands: 81% say that store brands offer food products that taste as good and home products that work as well as national brands. The notion that store brands offer a sub-optimal product experience, the trade-off for lower price, seems to be fading in consumers' minds, says the report.

Consumer Perceptions Toward Store Brands Vs. National Brands (% of Respondents)
Brand Offers:	Percent Saying Store Brands are the Same As or Better Than National Brands
Good value for the money	89%
Products that meet my needs	87
Convenient products	87
Good for the family	86
Products my family requests	83
Products that taste good	81
Products that work well	81
Products that I trust	80
High quality products	73
Unique products	69
Innovative products	69
Appealing packaging	65
Source: Ipsos, April 2010

Aitchison opines that "...store brands are flourishing as a result of product quality improvements in conjunction with the effects of the poor economy on consumers... the level of trust in store brands... at a time of distrust in other sectors... may mean that shoppers may be less likely to return to more expensive brands... "

The report suggests that national brands greatest strengths vs. store brands are packaging, innovation, uniqueness and quality.

For additional information, please visit Ipsos here.