Have Brands and Retailers Hit a Tipping Point?

Walmart Brings Back Delisted Brands

As reported by Jack Neff this week in AdAge, “the world’s-biggest retailer had embarked on an ambitious program to winnow brand assortment in an effort to reduce inventory, improve margins and, it said, offer the consumer a better shopping experience.” But consumers voted with the wallets, as Walmart’s sales fell and the retailer lost share. As the Bentonville retailer brings back the previous brand assortment in an effort to ensure shopper loyalty, have we seen the extent of the power of private label? If consumers switch stores over branded garbage bags, will other retailers sit up and take notice?

What do you think?

Advertising Age: Walmart Reversal Marks Victory for Brands

Yahoo! Finance: Retailers Get Pushback as Brands Disappear

2 Comments

  1. Adam Schorr Adam Schorr says:

    No way. Wal-Mart obviously went too fast but the march towards PL supremacy will continue so long as the branded goods players continue to play it safe and launch uninspired and uninspiring products and as long as they continue to mostly serve up highly polished but soulless brands.

  2. Be carefull with the assumption that Walmart is bringing back brands, they carefully said items or products, onlytime will tell how many or which brands will return. It could just as easily be your favorite flavor of Prego that returns, or a smaller bag of flour

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