The British Brands Group has published a white paper on how brands support competition between retailers in a symbiotic relationship that is as important now as it has ever been. Brands need retailers as a key route to market, but retailers also need the presence, support and resources of their branded suppliers too.
Intense competition between retailers is seeing downward pressure on prices and costs as major supermarkets price-match discounters and reduce range, with profitability and consumer choice facing severe headwinds as a result. Arguably, brands are one of the most powerful tools available to a retailer to rebalance profitability as they help drive value retention, shopper volumes and differentiation from limited assortment retail competition.
The white paper ‘Brands and their role in competition between retailers’ looks at how brands support supermarkets in their efforts to grow frequency, basket size, profitability and shopper loyalty.
The report explores the roles brands can play in this partnership:
- Understanding shopper psychology and emotions to influence buying decisions
- Creating more engaged shoppers in store
- Providing insights to bring profitable innovation to market
- Creating true differentiation for retailers
- Generating promotions that grow categories, basket size and retail profits
- Satisfying consumer and shopper needs in partnership with retailers.
White paper author Bryan Roberts, Director of Shopfloor Insights, said: “There will always be outbreaks of disagreement between branded suppliers and retailers. Overall, however, both parties thrive in a partnership. Retailers provide the convenience, store platform, the range and the service, while brands deliver the insights, innovation, marketing investment in consumers and in-store activations that can deliver genuine and sustained category growth.”
John Noble, Director of the British Brands Group, added: “It is always good to be reminded of the many ways in which branded suppliers and brands, working with retailers, contribute to the shopper experience both in store and online and how they bring value and differentiation to the retailer. Combining the insights and resources of retailers and branded suppliers builds a strong competitive proposition.”
An infographic summary is available here and the full report is available from the British Brands Group’s website homepage.
