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Private Brand with Big ‚B’
Agnieszka Krok, Head of Creative, Krzysztof Śpiewla, PR Manager
Private Label Made in Europe Fair and Conference
Copyright © Eura7 Sp. z o.o. Wszelkie prawa zastrzeżone. All rights reserved
Abanana
We’re building the wolrd of new media. Testing and using modern solutions in scope of web technology, strategy and creative
solutions . We love to share our knowledge.
Creative solutions
MARKETING
Actual problems of retail chains
STRATEGIC OUTLOOK
Concentration Margin Differentiation
01 EVERY YEAR IN POLAND
5% OF STRES CLOSE.
02 PRICE PRESSION 03 NUMBER OF CHAINS
GROW
Fot. Nicholas Eckhart@Flickr, lic. CC BY 2.0
PROBLEM:
Concentration
Lid est laborum dolo rumes fugats untras. Etharums ser quidem rerum facilis dolores nemis
omnis fugats vitaes nemo minima rerums unsers sadips amets.. Sed ut perspiciatis unde omnis
iste natus error sit voluptatem accusantium.
1
45%
CONCEPT
20%
AWESOME TEAM
CREATIVE
Lid est laborum dolo rumes fugats untras.
AWESOME TEAM
CREATIVE
Lid est laborum dolo rumes fugats untras.
CONSEQUENCE:
STRONGER
COMPETITION
2PRICE PRESSION
3SMALLER NEGOTIATION
SPACE
TARGET
COSTUMER
TARGET
COSTUMER
35%
55%
Dynamics of retail chains in Poland
Source: dr Urszula Kłosiewicz-Górecka, prof. IBRKK, Zmiany w handlu w okresie chwiejnego rozwoju gospodarczego Polski, March 2nd, 2015
Structure of retail spaces in Poland. Source: Rynek wewnętrzny w 2013 r. Informacje i opracowania statystyczne. GUS
Profitability
PROBLEM:
Retail chains are looping in chase
after the best price, and they don’t
know how to get out of this trap.
Marek Dąbrowiecki, Storck, in an interview for
Portal Spożywczy, 18th of June
Changes of added value in retail
market, according to National
Census
Among 200, 43 examined
businesses reported loss in 2013.
Portal Spożywczy after Bisnode Polska, February, 27th
//01
Friendly, neighbor’s, close, fresh….
Differentiation
PROBLEM:
Private label
THE SOLUTION CAN BE A
How?
Exit price wars: Prices distinctly higher
than by competiotors.
Sales value growth, supporting the chain
brand, increase of consumer loyalty: PL
sales double in 2 years.
Be local
WELL-THINKED STRATEGY
Company value maximalization, before it’s
sale: Succesfull fusion with Walgreens.
4 category brands.
2 of them directly connected to New York
Others – supporting chain’s „new-yorkness”
with additional attributes.
Private labels system:
Challenges and effects:
Specialist private brand
Taking the highger shelf in wide scope of
categories, to maximize margin.
Podbudowanie wizerunku sieci.
Reconstruction of chain’s image.
Reflets de France
SECTOR BRAND:
Complement of chain’s offer, export.
High quality.
Making-of: well-known chef, producers,
meetings, regional conotations.
Content richness in on-line communication.
Brand and communication:
Challenges and effects:
When private label pulls the chain
14,3 million views of the basic14,3 million views of the basic
videovideo
11,7 million views of e-11,7 million views of e-
postcardspostcards
Watch in Youtube
https://www.youtube.com/watch?v=jxVcgDMBU94
What about small chains?
ALL RIGHT, BUT…
Wisconsin Master’s Mark
Whether on point-of-sale materials … or
prominently displayed on cheese packaging,
the Wisconsin Master’s Mark serves as a point
of differentiation to add value to their cheese
display.
Wegmans Food Markets
Wegmans Food Markets, Rochester, N.Y., is
another example, Wisner states, boasting
plenty of chef-inspired, can-buy-it-only-here
items and loads of merchandising and
marketing support to back them up.
Garden Fresh Market
In addition to offering hard-to-match prices on
quality produce, differentiates itself via hard-to-
find ethnic foods.
Trader Joe’s
Think of … somebody like Trader Joe’s, who
essentially has converted the whole store into a
store of destination items.
Trader Jose’s is for Mexican cuisine, condiments,
and even beer; Trader Giotto’s is an Italian line
that includes pasta, pizza and bruschetta; and
Trader Joe-san’s is for Japanese cuisine. It also
has Trader Darwin’s, which is a brand of vitamins
and health supplements.
Źródła
http://www.fullsurge.com/perspectives/articles/brand/best-practices-private-label-branding
http://www.storebrands.info/store-brand-insights/special-features/why-bother
And if you don’t have an American budget…
…you have digital communication
Store reach space– 28,27×50=1 414 km2
Radio reach space – ok. 15 387 km2
What about the reach?
OVERCOMING DIFFICULTIES
Ineffective radio reach:
1414÷15387=91,8%
Radio campaign expenses vs. chain map.
Assumed: store reach radius = 3 km.
Campaign simulation
LET’S GET BACK TO THE EXAMPLE
//01
44% PAID REACH
EARNED REACH – E-CARDS.
EARNED REACH – SPOT
How much EDEKA paid for their campaign?
12%
44%
Internet is better
37%
Cheaper
2
Senses engaged
+20..
+60%
Viral reach
1
Using only 1 of
many ways of
targeting
Take advantage of what you have
CHANNELS YOU ALREADY USE
//01
E-Mailing FlyersWWW, apps Social media Packaging Store
Not only product-price
Build your image.
Build consumer loyalty.
E-mailing
YOUR CHANNEL
Shape sales.
Private Label:
„Justifies” chain brand.
Takes advantage of the channel.
Comprises the whole communication.
Website
Vastness of contentVastness of content
Reason to believe, reason toReason to believe, reason to
buybuy
Strictly bound with the productStrictly bound with the product
Connected with other activities:Connected with other activities:
social media, events etc.social media, events etc.
RemarketingRemarketing
Integrate!Integrate!
Useful tool for both channel and the consumer
Build image.
Build loyalty.
Application
YOUR CHANNEL
Shape sales.
For private brands:
Suggesting products in shopping list,
replacemnent lists
Using wide possibilities to show up
Easy use of social media
Closer communication builds-up relations
FB is the firstplace to contact or complain
Social media
YOUR CHANNEL
We do take friends’ opinions in account.
Facebook is also a medium to make reach
Instagram
Blogs and vlogs
Leaflet or… magazine
YOUR CHANNEL
Build your image.
Build consumer loyalty.
Shape sales.
Private Label:
„Justifies” chain brand.
Takes advantage of the channel.
Comprises the whole communication.
Augmented reality
QR codes
pACKAGING
YOUR CHANNEL
NFC
Beacons
2 times better app conversion (Walgreens).
6 times more app users (Carrefour)
28% more footfall (Walgreens)
In store
YOUR CHANNEL
Incredibble analytical opportunities
Private Labels:
Detailed analytics of connections between
foofall, sales and marketing activities
Consumer engagement
Full in-store consumer guidance
Fot. materiały prasowe Estimote
//01
1
3
5
2
4
6
02 EXACT REACH:
In right place, in right time, directly to the
right people
04 PERFORMANCE
Using tools which support
buying decisions
06 FEEDBACK
To improve effects
BRAND STORY 01
In very capacious media
MEASURING AND
RESEARCH05
Connecting data about people, search,
communications
EMOTIONALLY ENGAGING 03
Thanks to social and traditional media
„Integration – thank to Internet
THE POINT IS NOT TO HAVE A LOT
//01
1
3
5
2
4
6
02 PERSONALITY
04 CULTURE
06 CONSUMER’S SELF-IMAGE
PHYSICAL FEATURES 01
REFLECTION 05
RELATIONS 03
Build complete brand easily
Create real private Brands – it profits:
//01
Helping to avoid price pression.
To strenghten market position.
To build loyalty.
Thank you
Agnieszka Krok, Krzysztof Śpiewla
+48122923333 www.abanana.pl
www.eura7.com
info@eura7.com

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Private brands with big 'B'

  • 1. Private Brand with Big ‚B’ Agnieszka Krok, Head of Creative, Krzysztof Śpiewla, PR Manager Private Label Made in Europe Fair and Conference Copyright © Eura7 Sp. z o.o. Wszelkie prawa zastrzeżone. All rights reserved
  • 2. Abanana We’re building the wolrd of new media. Testing and using modern solutions in scope of web technology, strategy and creative solutions . We love to share our knowledge. Creative solutions MARKETING
  • 3. Actual problems of retail chains STRATEGIC OUTLOOK Concentration Margin Differentiation 01 EVERY YEAR IN POLAND 5% OF STRES CLOSE. 02 PRICE PRESSION 03 NUMBER OF CHAINS GROW Fot. Nicholas Eckhart@Flickr, lic. CC BY 2.0
  • 4. PROBLEM: Concentration Lid est laborum dolo rumes fugats untras. Etharums ser quidem rerum facilis dolores nemis omnis fugats vitaes nemo minima rerums unsers sadips amets.. Sed ut perspiciatis unde omnis iste natus error sit voluptatem accusantium. 1 45% CONCEPT 20% AWESOME TEAM CREATIVE Lid est laborum dolo rumes fugats untras. AWESOME TEAM CREATIVE Lid est laborum dolo rumes fugats untras. CONSEQUENCE: STRONGER COMPETITION 2PRICE PRESSION 3SMALLER NEGOTIATION SPACE TARGET COSTUMER TARGET COSTUMER 35% 55% Dynamics of retail chains in Poland Source: dr Urszula Kłosiewicz-Górecka, prof. IBRKK, Zmiany w handlu w okresie chwiejnego rozwoju gospodarczego Polski, March 2nd, 2015 Structure of retail spaces in Poland. Source: Rynek wewnętrzny w 2013 r. Informacje i opracowania statystyczne. GUS
  • 5. Profitability PROBLEM: Retail chains are looping in chase after the best price, and they don’t know how to get out of this trap. Marek Dąbrowiecki, Storck, in an interview for Portal Spożywczy, 18th of June Changes of added value in retail market, according to National Census Among 200, 43 examined businesses reported loss in 2013. Portal Spożywczy after Bisnode Polska, February, 27th
  • 6. //01 Friendly, neighbor’s, close, fresh…. Differentiation PROBLEM:
  • 8. Exit price wars: Prices distinctly higher than by competiotors. Sales value growth, supporting the chain brand, increase of consumer loyalty: PL sales double in 2 years. Be local WELL-THINKED STRATEGY Company value maximalization, before it’s sale: Succesfull fusion with Walgreens. 4 category brands. 2 of them directly connected to New York Others – supporting chain’s „new-yorkness” with additional attributes. Private labels system: Challenges and effects:
  • 10. Taking the highger shelf in wide scope of categories, to maximize margin. Podbudowanie wizerunku sieci. Reconstruction of chain’s image. Reflets de France SECTOR BRAND: Complement of chain’s offer, export. High quality. Making-of: well-known chef, producers, meetings, regional conotations. Content richness in on-line communication. Brand and communication: Challenges and effects:
  • 11. When private label pulls the chain 14,3 million views of the basic14,3 million views of the basic videovideo 11,7 million views of e-11,7 million views of e- postcardspostcards Watch in Youtube https://www.youtube.com/watch?v=jxVcgDMBU94
  • 12. What about small chains? ALL RIGHT, BUT… Wisconsin Master’s Mark Whether on point-of-sale materials … or prominently displayed on cheese packaging, the Wisconsin Master’s Mark serves as a point of differentiation to add value to their cheese display. Wegmans Food Markets Wegmans Food Markets, Rochester, N.Y., is another example, Wisner states, boasting plenty of chef-inspired, can-buy-it-only-here items and loads of merchandising and marketing support to back them up. Garden Fresh Market In addition to offering hard-to-match prices on quality produce, differentiates itself via hard-to- find ethnic foods. Trader Joe’s Think of … somebody like Trader Joe’s, who essentially has converted the whole store into a store of destination items. Trader Jose’s is for Mexican cuisine, condiments, and even beer; Trader Giotto’s is an Italian line that includes pasta, pizza and bruschetta; and Trader Joe-san’s is for Japanese cuisine. It also has Trader Darwin’s, which is a brand of vitamins and health supplements. Źródła http://www.fullsurge.com/perspectives/articles/brand/best-practices-private-label-branding http://www.storebrands.info/store-brand-insights/special-features/why-bother
  • 13. And if you don’t have an American budget… …you have digital communication
  • 14. Store reach space– 28,27×50=1 414 km2 Radio reach space – ok. 15 387 km2 What about the reach? OVERCOMING DIFFICULTIES Ineffective radio reach: 1414÷15387=91,8% Radio campaign expenses vs. chain map. Assumed: store reach radius = 3 km.
  • 16. LET’S GET BACK TO THE EXAMPLE //01 44% PAID REACH EARNED REACH – E-CARDS. EARNED REACH – SPOT How much EDEKA paid for their campaign? 12% 44%
  • 17. Internet is better 37% Cheaper 2 Senses engaged +20.. +60% Viral reach 1 Using only 1 of many ways of targeting
  • 18. Take advantage of what you have CHANNELS YOU ALREADY USE //01 E-Mailing FlyersWWW, apps Social media Packaging Store
  • 19. Not only product-price Build your image. Build consumer loyalty. E-mailing YOUR CHANNEL Shape sales. Private Label: „Justifies” chain brand. Takes advantage of the channel. Comprises the whole communication.
  • 20. Website Vastness of contentVastness of content Reason to believe, reason toReason to believe, reason to buybuy Strictly bound with the productStrictly bound with the product Connected with other activities:Connected with other activities: social media, events etc.social media, events etc. RemarketingRemarketing Integrate!Integrate!
  • 21. Useful tool for both channel and the consumer Build image. Build loyalty. Application YOUR CHANNEL Shape sales. For private brands: Suggesting products in shopping list, replacemnent lists Using wide possibilities to show up Easy use of social media
  • 22. Closer communication builds-up relations FB is the firstplace to contact or complain Social media YOUR CHANNEL We do take friends’ opinions in account. Facebook is also a medium to make reach Instagram Blogs and vlogs
  • 23. Leaflet or… magazine YOUR CHANNEL Build your image. Build consumer loyalty. Shape sales. Private Label: „Justifies” chain brand. Takes advantage of the channel. Comprises the whole communication.
  • 25. Beacons 2 times better app conversion (Walgreens). 6 times more app users (Carrefour) 28% more footfall (Walgreens) In store YOUR CHANNEL Incredibble analytical opportunities Private Labels: Detailed analytics of connections between foofall, sales and marketing activities Consumer engagement Full in-store consumer guidance Fot. materiały prasowe Estimote
  • 26. //01 1 3 5 2 4 6 02 EXACT REACH: In right place, in right time, directly to the right people 04 PERFORMANCE Using tools which support buying decisions 06 FEEDBACK To improve effects BRAND STORY 01 In very capacious media MEASURING AND RESEARCH05 Connecting data about people, search, communications EMOTIONALLY ENGAGING 03 Thanks to social and traditional media „Integration – thank to Internet THE POINT IS NOT TO HAVE A LOT
  • 27. //01 1 3 5 2 4 6 02 PERSONALITY 04 CULTURE 06 CONSUMER’S SELF-IMAGE PHYSICAL FEATURES 01 REFLECTION 05 RELATIONS 03 Build complete brand easily
  • 28. Create real private Brands – it profits: //01 Helping to avoid price pression. To strenghten market position. To build loyalty.
  • 29. Thank you Agnieszka Krok, Krzysztof Śpiewla +48122923333 www.abanana.pl www.eura7.com info@eura7.com

Editor's Notes

  1. Negocjacje także ws. Fuzji, Rabobank A co z lojalnością, franczyzą, quasi-franczyzą – p. Wojciechowicz
  2. I tu musimy uciekać do przodu: cena-jakość, ale cena stała – pokażmny konsumentowi, że ma za co zapłacić więcej, on tego chce, nie chce syfu.
  3. Brand to jest lawina pieniędzy – p. Wojciechowicz Trzeba mieć strategię
  4. Mam gotowy koncept regionalnej marki mleczarskiej dla hurtownika – żeby robić franczyzę, quasi-franczyzę – do kupienia.
  5. Dada
  6. Friedrich Liechtenstein Ironicznie o ważności produktu => kampania marki własnej tak naprawdę mówi, że produkty nie są istotne. Istotna jest marka, istotne jest poczucie, jakie ma osoba, korzystając z marki, czyli – przychodząc do sklepu.
  7. Koszty spadają przy dodatkowym targetowaniu: zainteresowania, kontekst, pora dnia… Np. dlaczego reklama w radiu jest dobra? Bo działa wtedy, kiedy klient myśli o zakupach – to samo YT. A, pracujesz, na komputerze, świetny komputer.
  8. Przy odpowiednim układzie kreacji i zakupu mediów możemy uzyskać 20-60% dodatkowego zasięgu. Tu założyliśmy, że płacili za 80% odsłon spotu podstawowego.
  9. A co oprócz Youtube’a – rich media, Adwordsy
  10. To samo można powiedzieć o mediach typu peformance
  11. Przykład z Kanady. Dobra aplikacja trochę kosztuje. Bonarka. Ale koszty można rozłożyć na dostawców, marka własna też może w tym brać udział. 80% ludzi ma smartfony
  12. Pascal, Okasa, Makłowicz – niekoniecznie nas na nich stać. A vloger?
  13. Myślicie że to drogie, bo Heineken? Zgadnijcie, z jakiego rynku jest case poniżej.
  14. Analityka jest najważniejsza. Ale beacony to nie wszystko
  15. 2, 3, 4. Ogromna gama rozwiązań – trzeba je ogarniać 5. System CRM i badań – tego nie ma żadna marka producencka, mogą się jedynie domyślać. Wy macie bezpośredni kontakt z klientem, możecie wprowadzać marketing automation, np. dzięki aplikacjom
  16. Gdzie tu jest miejsce na cechy produktu? Gdzie tu jest miejsce na wojny cenowe?