Private Label Winning Battle of Brands†

Marketers Face Moment of Truth As Retailers' Lines Soar to Historic Sales High

Advertising Age, February 23, 2009 — BATAVIA, Ohio (AdAge.com) Package-goods brands face their greatest crisis and strongest threat from private label since at least the early 1990s. And that's the good news. The bad news is that this time could be a lot worse — more like the U.K. or Canada in the 1970s than the U.S. in the 1990s, according to some industry watchers. They predict a structural slowdown in consumer spending that could last four to 10 years, which, combined with increasingly marketing-savvy and aggressive retailers, could conspire to push private-label shares to a dizzying high — as much as six times the roughly one-point gain already seen since the recession began in December 2007.

A Way to Save and Still Have Crisp Clothes

New York Times, October 9, 2008 — A new partnership between the retailer Ann Taylor Loft and Procter & Gamble is turning stores into launching pads for two new products, Tide Total Care and Downy Total Care. Both products claim to cut down on dry cleaning bills by helping clothes look new for a longer time.

The store chain is handing out free samples and coupons to customers who buy machine washable clothes, while posters and decals throughout the stores alert customers to the products’ benefits. The retailer has also produced an eight-page magazine, available free in its stores, that provides tips on how to keep clothes looking fresh (hint: they require Tide or Downy Total Care).

“The partnership between Loft and P.& G. is not typical, and we admit that at first we had concerns,”... continue reading

General Mills, Kraft Launch Word of Mouth Networks†

Brandweek, October 5, 2008 — Recognizing that a consumer's two cents are well worth their dollars, General Mills and Kraft have both launched new word-of-mouth networks.

For General Mills, it is "Pssst . . . ," an online network that gives members the scoop on the latest product news and offerings. The site, pssst.generalmills.com, currently has 100,000 members after a quiet launch last month.

Pssst uses an initial survey to help gauge product preferences. Once registered, users can voice their opinions via blog posts, share online coupon offers and recipes, and test new sample kits via the mail.

Kraft, meanwhile, kicked off Kraftfirsttaste.com last week, which lets consumers share the newest coupon and sampling offers, but also includes features such as a member spotlight, product... continue reading