“For example, a supermarket may sell a branded version of a commodity like milk at a 2–3% margin but, by buying competitively… — Greg Thain Copy Share Image
“Many companies use massive sampling at the launch of a product: sampling leads to use, which leads to mindspace. This tool is… — Greg Thain Copy Share Image
“retailers are afraid of delisting manufacturers’ brands, or at least the brands they perceive contribute to their store traffic, transaction size or… — Greg Thain Copy Share Image
“These four advantages (brand model, direct consumer contact, control of marketing-mix variables and information) mean that once retailers decide to challenge the… — Greg Thain Copy Share Image
“retailers are developing their own brand equities via impressive private label strategies (see Chapter 9) and will begin seeing brand premiums being… — Greg Thain Copy Share Image
“alternating price promotions between major competitors can defend their joint market share against smaller brands (or a retailer’s own brand) who have… — Greg Thain Copy Share Image
“P&G, Mars, Kellogg’s, Gillette and Coca-Cola all refuse private label contracts, while, on the other hand, Unilever, PepsiCo, Nestlé, Heinz, Playtex, Ralston… — Greg Thain Copy Share Image
“The key to profitability for manufacturers is to make their brands non-substitutable in the eyes of consumers, and the best way of… — Greg Thain Copy Share Image
“When a manufacturer has supply issues and leaves a retailer out of stock, the impact on the retailer is greater than it… — Greg Thain Copy Share Image
“unlike retailers, who control the store environment, manufacturers have to pay for every opportunity to communicate with their consumers in the minutes… — Greg Thain Copy Share Image
“Manufacturers must seek to widen their distribution and proactively embrace new customers and distribution channels, be it hard discounters such as Aldi,… — Greg Thain Copy Share Image
“The number of facings, depth of inventory, position compared to flow of traffic and the position within the store affect the amount… — Greg Thain Copy Share Image
“This shows that price is imperative for all FMCG retailers. They must always do two things well: Be genuinely price competitive on… — Greg Thain Copy Share Image
“Procter & Gamble, America’s largest FMCG company, announced the acquisition of Gillette. Both companies had decades of success developing technologically advanced products… — Greg Thain Copy Share Image
“New brands often gain sales through launch promotion, but find that repeat purchases dwindle, not through technical failure but through lack of… — Greg Thain Copy Share Image
“Price plays a larger role in the positioning of stores than it does in the positioning of brands. Price rarely provides a… — Greg Thain Copy Share Image
“In the 1980s, Woolworths in the United Kingdom had major cost and thus selling price disadvantages compared to the ‘selling’ retailers who… — Greg Thain Copy Share Image
“Another approach is to become category lieutenants. This is where a smaller supplier looks to complement the category captain by providing niche… — Greg Thain Copy Share Image
“In retailing, more is (mostly) seen as better. Competition is fiercest on the most basic grocery items: some 400 lines, which in… — Greg Thain Copy Share Image
“With such thin margins, profits turn to losses if the retailer loses control of costs by even one or two percentage points.… — Greg Thain Copy Share Image
“Safeway developed a successful campaign in the United States to grow sales from light shoppers and increase sales from heavy shoppers. They… — Greg Thain Copy Share Image
“mature markets are dominated by two phenomena: Product parity: When technological development plateaus, advantages created by technology disappear and competitors produce goods of… — Greg Thain Copy Share Image
“A weak competitor may resort to dropping prices because it is the only available action for increasing its volume in the short… — Greg Thain Copy Share Image
“RETAILERS KNOW THEIR shelfspace is a valuable resource. But this is a recent discovery; in the past, they gave it away, then… — Greg Thain Copy Share Image
“Retail competitors face each other with similar offerings of similar stores selling similar products at similar prices. Since” — Greg Thain Copy Share Image
“The cost of non-listing depends on what the customer will do if a brand is not in stock, either because of a… — Greg Thain Copy Share Image
“Within the category, what is the optimal combination of brands and formats to cover the maximum buying intentions, and what is the… — Greg Thain Copy Share Image
“in order to win more shoppers and boost their takings per shopper, retailers have been investing in store brands that are better… — Greg Thain Copy Share Image
“Segmentation is really about meeting some needs very strongly, even at the expense of others, which a retailer cannot afford to do.… — Greg Thain Copy Share Image
“P&G excel at proactively managing their product ranges, as they have a history of divesting commodity-type brands, like Crisco and Oxydol, brands… — Greg Thain Copy Share Image
“A similar situation exists for impulse categories that are mostly only considered if the consumer notices them. This is often the case… — Greg Thain Copy Share Image
“retailers use a master brand model, supporting one brand, the chain, whereas manufacturers primarily use a product brand model supporting a wide… — Greg Thain Copy Share Image
“While a manufacturer may be tempted to fund price reductions demanded by a hard discounter as the increased volume would cover their… — Greg Thain Copy Share Image
“Because retail brands are barely differentiated, they are relatively fragile when compared to the largest manufacturer brands, despite having, in general, much… — Greg Thain Copy Share Image
“The ideal category offers alternatives in all major segments, covers a range of price points and optimises impulse buying. Since retailers focus… — Greg Thain Copy Share Image
“Copycats target the biggest brands. Unilever’s Lipton Yellow Label tea is the most popular brand in the world, with a 15% market… — Greg Thain Copy Share Image
“The aim is to find socially and legally acceptable ways of allowing price-sensitive shoppers to pay less, while leaving the less-price-sensitive customers… — Greg Thain Copy Share Image
“If the manufacturer can convince the retailer that delisting will hurt consumer satisfaction and possibly lead to store switching, then that will… — Greg Thain Copy Share Image
“Selling strategies by retailers are not all bad news for manufacturers. Discounting big brands makes them exceptionally good value and, when advertised… — Greg Thain Copy Share Image
“Category captains are recognised by retailers as having the greatest knowledge of consumer behaviour and mechanics in a category, and usually will… — Greg Thain Copy Share Image
“Marketing aims/image: A retailer that has positioning aims (e.g. trying to improve its image with respect to healthy food or trying to upstage wholesaler… — Greg Thain Copy Share Image
“Every dominant brand (such as those listed in Table 5.1) has had to reinvest in mindspace every year to keep its position. However, things… — Greg Thain Copy Share Image
“consolidation, coupled with a desire among the survivors to restore normal profit levels, helps to usher in an era of orderly competition based on… — Greg Thain Copy Share Image
“If the manufacturer can convince the retailer that delisting will hurt consumer satisfaction and possibly lead to store switching, then that will be second… — Greg Thain Copy Share Image
“As retailers have become competitors of manufacturers in many product categories, they reserve more shelfspace for their private label brands and dominate advertising spending… — Greg Thain Copy Share Image
“High fixed costs mean that high volumes are an ever-essential objective. One” — Greg Thain Copy Share Image
“Importance of price: Price is imperative for FMCG retailers, much more so than for manufacturers. Retailers must constantly keep their real prices competitive and put… — Greg Thain Copy Share Image
“Hoping to create a little prestige, some retailers develop and advertise premium clothes sub-brands. In 2006, Myer, one of Australia’s largest retailers, launched a… — Greg Thain Copy Share Image
“The shift of power to retailers is not an inevitable phenomenon: technological changes and associated innovative ideas have been instrumental in moving power and… — Greg Thain Copy Share Image
“Because retail brands are barely differentiated, they are relatively fragile when compared to the largest manufacturer brands, despite having, in general, much higher awareness… — Greg Thain Copy Share Image
“There are some FMCG categories where retailers are destined to control mindspace. These are the low-technology, low-image, low-novelty areas. Retailers are likely to be… — Greg Thain Copy Share Image
“In markets where consumers are sensitive to quality differences (e.g. washing powder, instant coffee, sanitary protection) the share for generics and copycats usually plateaus… — Greg Thain Copy Share Image
