Consumer Values: A Hidden Motivator of Private Label Consumption

Abstract

Private label purchases have become a mainstay of consumer shopping in the fast-moving consumer goods (FMCG) sector, with 98% of U.S. consumers purchasing private label brands (Market Force Information 2014). However, private label usage is not uniform across consumer groups. According to Store Brands (2017), 10% of shoppers are heavy users of private label brands, while 41% of shoppers are light users. Although work on the consumer private label purchasing decision exists, much of the research centers on consumer characteristics. The lens of consumer characteristics is limited in depth. We seek to extend the view of the consumer decision to purchase private label brands through the lens of personal values. Personal values relate to personal goals, which act as guiding principles of one’s life. In marketing, Vinson et al. (1977) mentions the importance of personal values; examining values allows research to test beyond consumer demographic and even psychographic characteristics. Therefore, establishing the link between consumers’ personal values and private label brands provides a much richer understanding of a consumer’s motivation to purchase private label brands.