A Play Market Research September 2015 analysis has discovered that private labels are still suffering from the perception that they lack quality despite an increase in popularity.
Australian Food News shared that Play Market Research studied consumer interactions with private label products. As a matter of fact, it has found out that consumers are often happy with a private label offering once they try the product. However, the problem is getting shoppers to try it in the first place.
We've found that consumers are hesitant to purchase these products due to issues with the product concept and unappealing packaging. However, once they are in homes, most people actually would become repeat customers," Play Market Research Founder Chris Thomas said.
"Gaining trial is clearly the key challenge for supermarkets since these products perform so strongly. Changing perceptions of the private label image might be more of a long-term goal through various communication efforts, but packaging renovations would be an easy first place to start," Chris added.
The research on private labels came from Play Market Research's first "Pop Up Shopper" community study. It sends consumers free food product samples direct to their door as part of testing efforts. The system was introduced as an alternative to traditional product testing wherein consumers are usually paid to attend a testing center.
Chris Thomas said that the new platform should lower product testing costs at that time. "Six months ago, we recruited thousands of shoppers to create a new, automated and systematic program of product testing," he said. "Rather than pay respondents to attend a centralised location and complete long and arduous surveys, the POP UP Shopper Community focuses on In Home User Testing (IHUT) - making completing surveys faster, more convenient and more fun overall for everyone involved."
The first month's testing ranked Glad Warp as the highest rating product with it only scoring low points for a lack of "uniqueness." Other products like Fantastic's original flavored rice crackers scored well in pricing value while Red Rock Deli's "Thai Chili and Lime" flavored chips were considered to be a good idea but too expensive.
