RETAIL IDEAS
Why garden retailers should consider own-branding Sue Benson, Managing Director at The Market Creative, considers the benefits of own-branding and how to do it well. Blue Diamond recently became the first garden centre to introduce own-brand fashion. While innovative in garden retail, the concept of private label product lines has had long-standing success in the grocery market. The latest Kantar Worldpanel Brand Footprint study found that own-label goods from UK retailers comprised half of all value sales for the first time – an increase of £3.3bn, while branded sales rose by £0.8bn. Own-label products have historically come up against criticism for appearing cheap and devaluing the parent brand, but the stigma has reduced and perception improved as the concept has moved on in leaps and bounds. Aldi’s own-brand whiskies have just been crowned ‘best in the world’, for the second year. In a blind taste test, ASDA’s own-brand hot chocolate was ranked ‘just as delicious’ as high-end Charbonnel et Walker. Own-branded goods are no longer just about value; they’re about desirability. There are many more benefits of own labelling. Rather than selling similar brands, these lines offer a point of difference and can incite brand loyalty for the retailer, over the manufacturer. There’s an opportunity to respond to the latest trends and tell your brand story through packaging. Ownbrand products also remove the risk of showrooming, where shoppers visit stores to try out a product and then buy online from a competitor. Customers have long-considered their local garden centre as an alternative ‘retail’ environment and there are many product lines suited to own-branding. While compost is common, there are opportunities
Own brands can help garden retailers stand out from the competition. with garden furniture, equipment and accessories, artisan food and pet care, to name a few. The stronger the brand the more successfully you can diversify, think Virgin or Saga, but it is not without risks. If you already enjoy a loyal customer base and sell a similar range of goods, then there is an opportunity to create something more bespoke and inline with your values and style. The current retail environment presents genuine opportunities for brands that evolve but you will need to work harder than ever to protect your customer base and brand equity. Own-branding may not be the right choice for every garden centre, but it will be interesting to see how it develops or if there is a finite range of products we can convincingly sell.
Five tips to successful own-branding 1
Engage Don’t work in isolation, research, test and engage your customers in the process. Even the best products can be improved with insight and they will definitely benefit from advocates and influencers within your customer groups championing new product ranges or innovations.
2
Ask the experts If you are thinking of introducing a new bespoke line, work with expert suppliers. They bring experience and support allowing you to focus on the additional elements that will appeal to your customers.
3
Reflect your brand Your brand is your greatest asset, so make sure your own-label reflects your values, otherwise the juxtaposition will work against you. Similarly, if your customers buy into your brand they are more likely to buy your products.
4
Understand your values The stronger the brand the further it can stretch, but the values have to be authentic, relevant, solid and consistent - even if the product line changes.
5
Evolve Finally, fail fast or test and learn quickly. When your brand, investments, and ultimately, your reputation are on the line you need to make sure that you are improving all of the time. For more marketing insight and trends visit themarketcreative.com
A myriad of opportunities face garden centres considering own-branding.
18 July 2018
www.gardentradenews.co.uk