Food From Poland PLMA Edition 2016

Page 10

market

Private labels in Poland

In 2014, the value of sales of private label products in Poland reached PLN 50 billion, accounting for a share of above 17% in the sales of FMCG. For several years, the annual dynamics of sales of private labels has been 18-22%. IN RECENT YEARS, TRADING ENTERPRISES HAVE BEEN SHOWING MUCH ACTIVITY IN THE DEVELOPMENT OF PRIVATE LABELS, AS EVIDENCED BY THE FOLLOWING ACTIVITIES:

This is a result of changes in consumers'

chains which, encouraged by the succes-

shopping behaviour; dynamic integration

ses of foreign retail chains, are introducing

processes in retail trade; as well as activities

private labels to their own stores. The lar-

undertaken by retail enterprises, aimed at

gest share of private label products in total

quality improvement of private label pro-

sales has been recorded by discount sto-

ducts; as well as manufacturers' activities

res (54.3% in 2014), and the lowest one

who see benefits to their company in private

(3%) – by traditional stores, with a distinct

label production. The consumers' approach

upward trend, since private labels are also

sortment of private labels. Currently, most cha-

to shopping is changing - price is not the sole

created by wholesale enterprises, not only

ins offer private label products on at least two

product choice factor anymore. Consumers

introducing them to the wholesale chain

price and quality levels: first-price products

believe that private labels are of increasingly

stores but also offering them to indepen-

and premium products. The former have quali-

better quality and regard them as a possibili-

dent outlets. Examples include Bać-Pol

ty corresponding to brand products but are less

ty of “smart shopping”.

1.

Enhancement and deepening of the as-

wholesalers as well as Piotr i Paweł super-

expensive and ensure higher margins for the

The development of private labels in

markets, who have jointly created the “Lu-

enterprise. Premium private label products are

Poland is fostered by the dynamic growth

bię” brand products available in traditional

often used to change the image of a store into

of discount stores and integrated domestic

distribution channels.

one offering products characterized by a favo-

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