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IRI Sees Private Labels, Big-Box Retailers Benefiting From Belt-Tightening

  • Ad Age , Wednesday, October 29, 2008 11 AM
An Information Resources Inc. survey of 1,000 consumers over the last two weeks indicates that consumers plan to eschew brand labels this holiday season in favor of cheaper generics.

According to Jack Neff's story, a "whopping" 91% say they will be putting private-label foods on the family table, and 51% say they will use private-label products whenever possible. The usual percentages are 30% to 35%, according to Thom Blischok, president-innovation and consulting for IRI. The firm projects consumer spending to hold up at around 2007 levels.

Blischok predicts that big-box stores such as Walmart and Costco could be the big winners this year, possibly drawing shoppers from department and specialty stores by convincing consumers they can save enough on food to cross the aisle for gifts.

More than 90% of consumers plan to use their credit cards the same or less, IRI says, extending the "deleveraging" in the rest of the economy.

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