The growth of market share of distributors' brands, also known as private brand, has accelerated in recent years. Sales volumes and market shares of private brands, as well as their appeal to consumers have steadily increased. Carrying private brands comes with numerous advantages, one of which is the relatively high gross margin, which can be 20 - 30% higher compared to manufacturer brands. Recently, many big discount stores are expanding private brand for higher sales volume. Thus, private brands play an important strategic role for retailers. The tendency of growing private brand will decrease sales revenue of both channel members, distributer and manufacturer. The disadvantage for manufacturer is obvious, especially for the manufactures who not only produce their own brands but also retailer brands competing against their own. There are also possible to weaken the brand awareness of manufacturer's brand. The purpose of this study is to explore the perception gap between retailers and manufacturers. we investigated to identify how consumers perceive private brand. In other to study the impact of private brands on distributors, we surveyed the actual condition of private brand and perception towards private brands among consumers, retailers and manufacturers. Based these analysis, we recommended proposal for private brand policies as follows: First, it need to correct imbalance between large retailer and manufacturer. second, we suggest "win-win growth policy", Third, by registering trademark right of national brand, manufacturers have a way of protecting their brands. Forth, manufacturers are encouraged to produce PNB(Private National Brand).
NGUYEN, Van Thuy;TRAN, Thi Hong Dao;NGO, Thi Xuan Binh
Journal of Distribution Science
/
v.20
no.2
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pp.11-18
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2022
Purpose: The purpose of this paper is to investigate the influence of brand equity on customer purchase decision (CPD) of products for retailers distribution (RB) in Ho Chi Minh city, Vietnam. There are five elements in the brand equity model such as brand awareness, brand association, brand loyalty, perceived quality, and pricing policy. Research design, data and methodology: Qualitative methodology was used for exploring the research model and variables. The survey was conducted to collect data from 251 respondents who bought products at RB in Ho Chi Minh city, which is based on a Likert scale. The collected data were analyzed with the reliability of the scale, exploratory factor analysis, and research hypothesis testing by SPSS 22. Results: The results obtained revealed that brand awareness, brand association, perceived quality, and pricing policy have a significant impact on CPD for RB. Furthermore, the results showed that perceived quality is the most significant component in influencing CPD at retailers. Conclusions: From the research results, some management implications that RB should focus on are perceived quality, choice of pricing policies and strategies, brand building and development to attract more customers as well as enhance its image to improve customers' purchasing decisions of products at retail distributors chain.
The last year, the government restricted a new store open and businness hours of a large-scale stores, discount store and super super market(ssm). So, this research was examined the effect that the retailer was affected and its correspondence strategy First this research examined how the government restricted a large-scale stores in 2009 earlier and then this research analyzed how the Japan and France restricted it. Second this research examined that a new establishment and business hours change of a large-scale stores. Bacause of a small trader resistance in 2009 latter. Finally it analyzed the effect that a retail industry was affected in the future. bacause law was enforced. On the basis these things, a victim remedy was presented by retailers view. Bacause of international law and an excess regulation. Also, this research suggest that large retailer should expand a overse market and increase retailers private brand component ratio and develop overse brand. Finally this research also suggest that trader and retailer should continue to coperate and turn business direction into franchise system.
Journal of the Korea Fashion and Costume Design Association
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v.6
no.3
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pp.19-29
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2004
The current fashion market is experiencing a lot of difficulties in fashion forecasting due to consumers' fast-changing lifestyle on fashion, changes in consumer behavior, and the segmentation of the fashion market. To cope with this harsh reality, many fashion enterprises have paid much attention to the SPA (Specialty Retailer's Store of Private Label Apparel) brand as a promising fashion marketing strategy in terms of which they can survive in the extremely competing fashion market. The SPA brand is in the stage of inception in Korea, but the SPA brands such as MUJI and UNIQLO are already dominating the fashion business in Japan. Korea has just started developing the SPA brand, but its technological development, which was triggered by the success of 'BASIC HOUSE', is rapidly evolving. Under these circumstances, the SPA brand is getting vital for the fashion market in efficiently realizing consumers' requirements, revolutionizing the method for providing product information and the process of Marketing Mix Program, and expressing the value of shop. This paper studies the nature of the SPA brand and fashion merchandising system, and in turn examine the differences between the visual merchandising of the existing fashion brands and the Japanese SPA brands that are used as the fashion marketing strategy which is driven by the up-to-date technological system. Centering around these issues, we propose a visual merchandising system for fashion enterprises which serves to develop Korean-style SPA brands.
Journal of the Korean Society of Clothing and Textiles
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v.34
no.3
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pp.459-471
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2010
This study examines the exposure effects of the brand of fashion manufacturers on the brand attitude of consumers towards the private brand of fashion retailers. In addition, it investigates the exposure effects of the brand of fashion manufacturers on the brand attitude of consumers towards the private brand of fashion retailers based on the sensitivity of consumers as related to the brand. Data are analyzed by a reliability analysis, a factor analysis, the correlation analysis, t-test, and one-way ANOVA. The main results are summarized as follows. First, when the private brand of fashion retailers (Perry Jensen) was shown to customers, three groups ('PB without exposing the brands of fashion manufactures', 'PB with exposing Galaxy', and 'PB with exposing Parkland') revealed statistically significant differences in consumer purchase intentions as well as brand preferences to the PB products of fashion retailers. The group of 'PB with exposing high-sensitive Galaxy group' showed an overall higher brand attitude than the other two groups-'PB without exposing the fashion manufactures' brands' and 'PB with exposing low-sensitive Parkland'. Second, in comparison with the effects of the brand sensitivity of each group, the group with the higher brand sensitivity showed statistically significant browsing intension as well as purchase intention on both brands of fashion manufactures (Galaxy and Parkland).
Purpose: As consumers have difficulty in brand choice due to excessive information, using brand popularity as an advertising cue (e.g., Sales No. 1, Hit Product) has been getting more attention as an effective curation strategy for decreasing consumers' cognitive efforts. Accordingly, recent studies empirically demonstrate that consumers tend to prefer and choose a brand with a popularity cue and offer a useful information regarding how to use a popularity cue in marketing communication. However, extant research has mainly focused on investigating the impact of "brand popularity in a domestic market" on consumer behaviors. Thus, little is known about the effect of "brand popularity in a foreign market" on local consumers' decision-making process. Given that domestic consumers tend to purchase imported products from overseas countries, it can be meaningful information for global companies. Therefore, this research derives and tests the five hypotheses to examine how local consumers respond to brand popularity in a foreign market as an advertising cue. Specifically, it tests the three hypotheses regarding the direct and indirect effects of brand popularity in a foreign market on risk perception and purchase intention. Then, it tests two additional hypotheses about moderating effects of psychic distance on the relationship between brand popularity and risk perception as well as on the relationship between brand popularity and purchase intention. Seventy participants are exposed to an advertisement for an Indian cosmetic brand using a popularity cue in Indian market and answer the questions about brand evaluation. For data analysis, regression analysis is employed. The findings of this research show that perceived brand popularity lowers local consumers' perceived risk with a foreign brand. However, perceived brand popularity does not have a direct impact on purchase intention while it has an indirect effect through perceived risk. Meanwhile, psychic distance moderates the effect of perceived brand popularity on perceived risk level, but it has no impact on the relationship between brand popularity and purchase intention. This research is one of the first studies that demonstrate the positive impact of brand popularity in a foreign market on a local consumer's purchase decision, and it shows the effect can be moderated by psychic distance.
Purpose - This study investigates the effect of visual merchandising display (VMD) of local specialty retailer of private label apparel (SPA) brands, such as space, display, and presentation on brand awareness, brand image, and purchase intention. It investigates consumers' VMD awareness and purchase intention of SPA brands to help business activities of local SPA enterprises. Research designs, data, methodology - This study uses SPSS 18.0 to study eight local SPA brands and has 193 effective usable copies from a sample of 200. Results - The display and presentation of VMDs of SPA brands had a positive influence on brand awareness and brand image, which in turn had a positive influence on purchase intention. Conclusions - As SPA brands are increasingly located in supercenters, they face space constraints and find it difficult to display their facade and signs effectively. Therefore, decisions pertaining to display, presentation, and space should consider whether these SPA brands are launched as independent specialty shops or in supercenters. The space for VMD is considered important in independent shops. However, shops that open in supercenters should pay more attention to presentation rather than space.
Purpose: In this study we investigate the determinants of private label (PL) purchase intention in South Korea. Private labels are becoming more and more popular in America and European countries. However, there are not enough studies focusing on PL within the South Korean market. Therefore, the present study has been written in order to understand more about consumers' purchase intention of store brand in the South Korean market. Many characteristics and aspects of consumers and brand's behavior have been reviewed in order to bring relevant results. Research design, data and methodology: Data was collected using a quantitative survey of Korea retail store's consumer. We analyzed using multiple regression method to test the hypothesis. We analyzed how and why do consumers have a strong intention to purchase the PL. Results: a) Trust towards retailer influences the PL purchase intention of customers; b) brand awareness has an impact on the PL purchase intention of customers; c) perceived quality has an impact on the PL purchase intention; d) Price-quality relationship influences on the PL purchase intention. However, there is no direct effect of some of the factors of determinant. Conclusion: For private label products in the Korean market, trust in sellers and brand awareness influences the purchase of PL products.
We are motivated by how offline and online firms compete. The Internet made many conventional offline firms build a dynamic online business as another sales channel using their advantages such as brand equity, an existing customer base with comprehensive purchasing data, integrated marketing, economies of scale, and longtime experience with the logistics of order fulfillment and customer service. Even though the hybrid selling using both offline and online channel seems to have advantages over a pure online retailer, all the conventional offline firms are not seen to create an online business. Many conventional offline firms began to launch online business since the Internet era, however, just being online business is not likely to guarantee success. According to Bizate.com's report whether the hybrid channel strategy is successful is still under investigation. For example, consider the classic case of Barnes and Noble versus Amazon.com, Barnes and Noble was already the largest chain of bookstores in the U,S., when Amazon.com was established in 1995, BarnesandNoble.com followed suit in 1997, After suffering losses in its initial years, Amazon finally turned profitable in 2003. In 2004, Amazon's net income was $588 million on revenues of $6.92 billion, while Barnes and Noble earned $143 million on revenues of $4.87 billion, which included BarnesandNoble.com's loss of $21 million on revenues of $420 million. While these examples serve to motivate our thinking, it does not explain when offline firms should venture online. It also does not provide an analytical framework that can generalized to other competitive online-offline situations. We attempt to do this in this paper and analyze a hybrid channel model where a conventional offline firm competes against online firms using its own direct online channels. We are particularly interested in an optimal channel strategy when a conventional offline firm sells its products through its own direct online channel to compete with other rival online firms. We consider two situations where its direct online channel and other online firms are symmetric and asymmetric in the brand effect. The analysis of this paper presents several findings. In the symmetric model where a hybrid firm's online channel is not differentiated from a pure online firm, (i) a conventional offline firm will not launch its online business. In the asymmetric model where a hybrid firm's online channel is differentiated from a pure online firm, (ii) a conventional offline firm can launch its online business if its brand effect is greater than a certain threshold. (iii) there is a positive relationship between its brand effect and online customer costs showing that a conventional offline firm needs more brand effect in order to launch online business as online customer costs decrease. (iv) there is a negative relationship between its brand effect and the number of customers with access to the Internet showing that a conventional offline firm tends to launch its online business when customers with access to the Internet increases.
Recently, some fashion retailers have initiated sustainable actions in the form of corporate social responsibility (CSR) activities to address consumers' social concerns. This study intends to combine the concept of CSR motivation attributions with brand extension literature in order to examine how consumers' trust of a parent brand affects their CSR motivation attributions and ultimately their attitudes towards parent-brand CSR activities and sustainable extension lines. A self-administered online survey was conducted using scenarios describing a fast fashion retailer introducing a sustainable line. Data from 303 female U.S. consumers, aged between 18 and 34 years, were used for the statistical analysis. Data analyses were conducted using SPSS 21.0 for descriptive analysis, exploratory factor analysis, and regression analysis. The results revealed that all hypotheses were supported. The findings show that consumers' trust of a parent brand has an indirect impact on positive attitudes towards the parent brand's CSR activities as well as the sustainable extension product line, mediating positive evaluations of the brand's social CSR motivations. In addition, this study suggests consumers' prior trust of the parent brand is a variable that affects consumers' evaluation of CSR motivation sincerity. Marketing suggestions and thoughts based on the findings of this study were provided.
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