The Science Of ... , Evergreen Content

How ‘no name brands’ became trusted in SA (attracting R38 billion in spending)

South Africans trust housebrands, according to a new report by Nielsen.

The report states that 63% of South African consumers believe that private label quality is “as good as that of established name brands”.

Private label products account for R38.4 billion of consumer spend at supermarkets.

The private label industry’s share of the market has increased from 18.8% in 2014, to 19.4% in 2015 and 19.6% in 2016.

Nielsen also found that even wealthy households trust and buy housebrands.

The Money Show’s Bruce Whitfield interviewed Craig Henry, MD at Nielsen (Africa-Middle East), for his weekly “The Science Of” feature.

For more detail listen to the interview in the audio below (and/or scroll down for quotes from it).

The point of housebrands is to drive differentiation among retailers.

Craig Henry, Nielsen (Africa-Middle East)

Consumers are trying to keep their baskets up.

Craig Henry, Nielsen (Africa-Middle East)

Housebrands prevail where there’s low brand category leadership.

Craig Henry, Nielsen (Africa-Middle East)

Private label cooldrinks have grown massively on the back of price.

Craig Henry, Nielsen (Africa-Middle East)

We have a slightly higher penetration of housebrands than the global average.

Craig Henry, Nielsen (Africa-Middle East)

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Article brought to us by Old Mutual.

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