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Brands Versus Private labels : Fighting to win

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  1. 1. BRANDS VERSUS PRIVATE LABELS FIGHTING TO WIN
  2. 2. 1. Due To Higher Profit Margin Reduce The Cost OF Delivery Eliminates The Middle Man Increases Supply Chain Efficiencies
  3. 3. 2. Easy to differentiate retailers
  4. 4. 3. Set Your Own Price
  5. 5. 4. saves from economy fall
  6. 6. Major Private label retailers in India
  7. 7. THREAT ??
  8. 8. 1. Improved product Quality of Private Labels
  9. 9. 2. Development of Premium Private Labels
  10. 10. 3. European retailer success
  11. 11. 4. Entry In New product categories
  12. 12. So, Is This The End Of National Brand ?
  13. 13. PEOPLE DIE FOR BRANDS !
  14. 14. Brands are established
  15. 15. Strong Economy leads to strong brand
  16. 16. Brands attract people to visit stores
  17. 17. Should BRANDS then Manufacture For Private labels ?
  18. 18. ADVANTAGES Use of excess manufacturing capacity
  19. 19. ADVANTAGES Better Control over Market
  20. 20. ADVANTAGES Competitive Advantage
  21. 21. Disadvantages Bad Relation between retailer and manufacturer
  22. 22. Disadvantages Increased manufacturing and distribution Complexities
  23. 23. Disadvantages Can be a cause to hurt your own brand !
  24. 24. Evaluate Private-label Business Do private label audit Evaluate Business on full costs rather than incremental cost Examine the effect on your brand Close the excess capacity
  25. 25. Defense >>
  26. 26. Make The brand strong: Invest In brand equity !
  27. 27. Innovate: With Caution !
  28. 28. Using fighting brands
  29. 29. Build relationships UNDERSTAND YOUR CUSTOMER TEACH YOUR RETAILER
  30. 30. Manage each category; know your product
  31. 31. exploit sales-promotion tactics: capture that retail space
  32. 32. Dont underestimate the private brands
  33. 33. RECAP
  34. 34. CREDITS
  35. 35. THANK YOU
  36. 36. >> DISCLAIMER www.IIMInternship.com DURING AN INTERNSHIP BY PROF. SAMEER MATHUR, IIM LUCKNOW CREATED BY : NAGARJUN KS SIT,TUMKUR

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