Will Uk shoppers turn their backs on Aldi and Lidl and their powerful private label programmes when the economy improves and shoppers have more money in their pockets? For one leading business publication, Marketing Week, the answer is an emphatic “No!”
“If you recognise that people are buying private labels not because they are trading quality for lower prices but because they know these products are as good as the manufacturer brands, our imminent escape from austerity will have no major impact on either Aldi or Lidl’s impressive share growth in the UK,” the publication writes. The magazine cited recent shopper research that “shows conclusively that if you have knowledge in a category and the confidence that follows, you are more likely to buy private labels than branded goods, irrespective of your household income. That’s an important long-term discovery given the influence we know knowledgeable consumers ultimately have over the mass market.”
“The era of private-label domination, and with it the tangential growth of the German über-discounters, is set to continue, recession or not,” it concludes.
