Abstract
Consumer behavior towards private labels (PLs) is constantly changing, accompanied by the development from generic products, offered at very low prices, towards sustainable PLs. Our study aimed to analyze the behavior of British and Polish consumers towards PLs of the retail chains. To achieve this, special attention was given to the following issues: frequency of purchasing PLs by food categories, motives for purchasing PL products, opinions of the current development of PLs, and length of the period of purchasing products under PLs. We also presented the socioeconomic features of the Polish and British consumers purchasing PL products using a correspondence graph. Our research was conducted using a sample of 500 adults from Poland and 500 adults from the UK and the Computer-Assisted Web Interviewing method (CAWI) was used. The questionnaire was addressed only to adults who declared that they purchase PL products. For a detailed analysis of consumer choices and service quality assessment, we used Pearson’s chi-square test, as well as the Kohonen’s neural network and multi-dimensional cluster analysis. We have divided the sample population into 4 clusters based on 6 factors, characterizing households: education level, income, household residence, age, gender, and period of buying PL products. Our study indicates that Polish consumers are more likely to pay attention to lower prices for PLs, while British consumers point quality compared to manufacturers’ brands. In the opinion of Polish consumers, an improvement in quality is only just beginning. This means that PLs available on the British market are characterized by a higher stage of development towards sustainable PLs.
Highlights
Consumer attitudes towards private labels (PLs) have changed significantly in recent years [1,2,3], with the development of PLs
The difference is noticeable among new buyers of PLs in the retail chains, i.e., up to 1 year (PL—9.6%, UK—18.8%)
Our research has shown that the consumer behavior of Polish and British consumers differs in terms of factors determining the choice of products available under PLs and opinions of PL development
Summary
Consumer attitudes towards private labels (PLs) have changed significantly in recent years [1,2,3], with the development of PLs. PLs as products of comparable or even higher quality than national brands are purchased by highly price-sensitive customers [5,6]. It provides an opportunity for retail chains to develop sustainable PLs [7]. According to Nielsen’s Report, a new retail revolution in the development of PL products is currently taking place [11] This is since PLs have established market position as branded products and compete with leading producer and national brands in terms of quality [12] and sustainability [7]. By well-planned marketing strategies aimed at attracting consumers [10], PLs become a tool for creating and achieving competitive advantage [14] and for building consumer loyalty to retailers [15,16]
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