Like all shoppers, two out of five monthly Target shoppers have increased their private brand purchasing since the recession started, according to ShopperScape™. Seven out of 10 monthly Target shoppers intend to stick with buying private brands after the economy improves. Gen Y shoppers are driving private brand buying increases among all shoppers in general, and at Target, it is even more prevalent because of the retailer’s younger shopper base. While price and value are the top reasons cited for buying private brands, a greater share of Target shoppers emphasize comparable/higher quality vs. all shoppers. Target’s main grocery food and non-food private brands—Archer Farms, Market Pantry, and up & up—exhibit high conversion rates. In each case, more than half the shoppers who are aware of the brand have actually purchased it. Still, a key challenge remains for Target: Make more shoppers aware of its private brands. Just 35% of shoppers are aware of up & up (albeit a relative newcomer launched last spring) vs. Walmart Equate’s 75% awareness level.
List of Tables
Purchasing of Private Brands Since Recession Started Private Brand Purchasing by Generation—Monthly Target Shoppers vs. All Shoppers Substantially/Somewhat Increased Purchasing of Private Brands Since Recession Started—By Generational Cohort Private Brand Purchasing by Income Market—Monthly Target Shoppers vs. All Shoppers Reasons Why Shoppers Buy Private Brands Conversion Rates (Purchase-to-Awareness Ratio) of Target Private Brands Private Brands Ranked by Conversion Rate (Purchase-to-Awareness Ratio)—Selected Retailers Bought Private Brand Last Time Purchased Substantially/Somewhat Increased Purchasing of Private Brands Since Recession Started—By Income Market Substantially/Somewhat Increased Purchasing of Private Brands Since Recession Started—By Lifestage/Household Designation1 Private Brand Purchasing by Lifestage/Household Designation—Monthly Target Shoppers vs. All Shoppers Private Brand Shoppers Very Likely to Stick with Private Brands after Economy Improves
For more information, contact Maybelle Trocio-Ball at mtrocioball@retailforward.com.