Using Information Processing To Build A Private Label Brand In Big Emerging Markets

Abstract

One of the most visible retailing phenomena of the past two decades has been the increase in sales of private labels (PL), or retail brands. Driven by retail consolidation, attractive margins, consumer sophistication, supply chain efficiencies, merchandising strategies, and pricing, PL offer a wider assortment of price and merchandise options for both retailer and consumer. An important part of the overall merchandising mix in the U.S. and Europe for decades, PL have only recently begun to make inroads in other parts of the world. Using the information processing theory, this paper outlines how retailers in three big emerging markets should use the theory in practice to enhance their PL branding strategy.