Summary: Branding And Packaging Strategies Of Equate

825 Words 4 Pages
Branding and Packaging Strategies of Equate
G.K. Chesterton, a late 19th and early 20th century journalist from London observed “Thrift is poetic because it is creative; waste is unpoetic because it is waste” (Goodreads, 2014). In times of recession, consumers are influenced by thriftiness, making difficult decisions on necessity versus luxury. With the largest generation currently in control of the majority of the marketplace, marketers have focused on a necessary creativity to meet the lifestyle expectations of millennials (Grewal & Levy, 2014).
To keep up with the demands of the largest target market, retailers like Walmart are utilizing their financial capacity and store-front space to expand and develop their private-label brands (Grewal
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One of these brands, Equate, is contracted with Vi-Jon, a manufacturer of private-labels experienced in increasing market share with consumers in the U.S. (The Highland Group, 2013). But just how risky is direct completion of successful brand name products with private-labels?
One of the name brands Equate strives to create an equivalency with is the Aveeno line of skin care products by Johnson & Johnson. For the fiscal period of 2010 to 2013, Johnson and Johnson attributed a 2.4 percent growth in revenue to the Aveeno product line (Johnson & Johnson, 2014). Over the same period, Walmart recognized greater than 16% growth in overall revenue (University Alliance, 2014); to which it attributes an average of 15-30 percent growth margin in private labels over name-brand products (Souza, 2914). The question then becomes how Walmart successfully changed perception of itself through private label
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If the products are on the shelf, and purchase history can be tracked, why not leverage it to determine which products to mimic? This is well accomplished with the Equate line of personal care products produced through Vi-Jon as see in the example in Figure 1. By leveraging the modernized packaging style of the brand name with some simple modifications as well as reference to the equivalent brand name, the consumer can easily compare the two products side by side on the

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