Marketing Food Brands (eBook)

Ranga Chimhundu is a Senior Lecturer in Marketing at the University of Southern Queensland in Australia. His areas of research include Fast-Moving Consumer Goods (FMCG) marketing, brand and product management, grocery retailing and marketing strategy. Ranga has published in numerous peer-reviewed international journals such as the Journal of Brand Management and is a member of the Chartered Institute of Marketing. 

Acknowledgements 5
Contents 7
List of Abbreviations 11
List of Figures 12
List of Tables 13
1: Introduction to Issues around Marketing Private Label and Manufacturer Brands 15
Overview 15
Purpose and Background of this Book 16
Significance of the Book 18
Methodology Employed in the Investigation 20
Scope of the Book 21
Contribution of the Book 21
Book Outline 22
Chapter 1 23
Chapters 2, 3 and 4 23
Chapter 5 23
Chapters 6 and 7 23
Chapter 8 24
Chapter 9 24
Chapter Recap 24
References 24
2: The Management of FMCG Product Categories 28
Overview 28
History of Category Management 29
Historical Development 29
Distinct Phases 31
What is Category Management? 33
Distinction between Brand Management and Category Management 36
History of Private Label Brands 37
First Era: Emergence of Private Label Brands (1840–1860) 38
Second Era: The Decline of Private Label Brands (1861–1928) 39
Third Era: The Rise of Private Label Brands (1929–1945) 40
Fourth Era: The Stability of Private Label Brands (1946–1975) 40
Fifth Era: Private Label Brands Versus Manufacturer Brands (1976–2003) 41
Deployment of the Category Management Process 43
Objectives and Benefits of Category Management 44
Brand and Category Management Organisational Arrangements 46
Brand and Category Organisation for the FMCG Manufacturer 46
Supermarket Retailer and Category Management Organisation 48
Joint Category Management Arrangements 48
Manufacturer/Retailer Collaboration 48
Category Captain Arrangements 50
Research Set in the Category Management Context 51
Key Aspects of the Literature on the Management of FMCG Categories 55
Chapter Recap 56
References 56
3: Product Innovation, Category Marketing Support, Consumer Choice and Power 62
Overview 62
Product Innovation 62
Meaning of Innovation 62
Continuum of Innovation 64
Continuous, Dynamically Continuous and Discontinuous Innovation 64
Incremental and Radical Innovation 65
Brand Innovation, Growth and Competitiveness 66
Manufacturer Brand and Private Label Innovation in Supermarket Product Categories 68
Capacity to Innovate 69
Incentives, Nature and Progress of Innovation 70
Category Marketing Support 73
Consumer Choice 74
Power and the FMCG Industry 77
An Overview 77
Bases/Sources of Power 77
Power–Dependence Relationship 80
Power and Cooperation 82
Balance of Power in the FMCG Industry 83
Chapter Recap 85
References 85
4: Private Label and Manufacturer Brand Coexistence 92
Overview 92
Product Categories and Brands 92
Manufacturer Brands and Private Label 93
Hierarchy of Participating Brands in the Categories 94
Private Label Portfolio 95
Balancing Private Label and Manufacturer Brands in the Product Categories 98
Private Label Share in an Environment of High Retail Concentration 100
Private Label/Manufacturer Brand Category Share and Equilibrium 100
Research Direction of this Book 112
Chapter Recap 114
References 114
5: Key Research Issues in the Marketing of Private Label and Manufacturer Brands 120
Overview 120
A Recap of the Research Questions 120
Research Themes and Specific Research Issues 121
Balance Between Manufacturer Brands and Private Label FMCG/Supermarket Product Categories 121
Product Innovation, Category Marketing Support and Consumer Choice 123
Category Strategic Policies on the Coexistence of Manufacturer Brands and Private Label in FMCG/Supermarket Product Categories 127
Conceptual Framework 130
Chapter Recap 132
References 132
6: Research Paradigm, Research Method and Research Design 137
Overview 137
Research Paradigm 137
Positivist Paradigm 139
Phenomenological/Interpretive Paradigm 140
Critical Theory 140
Constructivism 141
Realism 142
Justification of Case Research Methodology 143
Research Design 147
Theory-Building Nature of the Research 147
Quality Issues in Case Study Research 150
Criteria for Case Selection 153
Rationale for Multiple-Case Design 155
Rationale Behind the Choice of Cases 156
Rationale for Number of Cases and Number of Interviews 156
Number of In-Store Category Observation Study Forms Completed 158
Chapter Recap 158
References 159
7: Private Label and Manufacturer Brand Research Execution 163
Overview 163
Data Collection 163
Techniques of Data Collection 163
Secondary Data 164
In-Store Category Observation Study (Primary Data) 165
In-Depth Interviews (Primary Data) 167
Pilot Study 171
Data Analysis 172
Secondary Data 173
In-store Category Observation Data 174
Interview Data 174
Triangulation of Evidence 176
Limitations of Methodology 177
Ethical Considerations 178
Chapter Recap 179
References 179
8: Empirical Evidence on the Coexistence of Private Label and Manufacturer Brands 182
Overview 182
A Restatement of the Research Issues 182
Balance between Manufacturer Brands and Private Label in FMCG Product Categories 183
Product Innovation, Category Marketing Support and Consumer Choice 184
Category Strategic Policies on the Coexistence of Private Label and Manufacturer Brands in FMCG Product Categories 184
Case Summaries: FMCG Categories and Grocery Retailers 185
FMCG/Supermarket Categories 185
Milk Category 185
Flour Category 185
Cheese Category 186
Breakfast Cereals Category 186
Tomato Sauce Category 186
Grocery Retail Chains and Selected Supermarket Groups 187
Balance Between Private Label and Manufacturer Brands 187
Analysis of Research Issue 1 187
Balance in a Highly Concentrated Grocery Retail Landscape 189
Analysis of Research Issue 2a 189
Analysis of Research Issues 2b and 2c 194
Comparative Capacity for Product Innovation and Category Support 196
Analysis of Research Issue 3a 196
Analysis of Research Issue 3b 203
Stance on Comparative Capacity for Product Innovation and Category Support 208
Analysis of Research Issues 4a and 4b 208
Analysis of Research Issue 4c 217
Role of Consumer Choice 223
Analysis of Research Issue 5 223
Nature of Coexistence between Private Label and Manufacturer Brands 226
Analysis of Research Issue 6 226
Role of Power in the Coexistence of Private Label and Manufacturer Brands 228
Analysis of Research Issue 7 228
Power as it Relates to Private Label Growth and Equilibrium 229
Power and Shelf/Merchandising Decisions 231
Power and Category Management Arrangements 233
Power and Driving Category Growth through Innovation and Category Support 234
Power and Private Label Quality Spectrum 237
Wrap-up of Discussion on Research Issue 7 238
Chapter Recap 239
References 239
9: Conclusions and Implications of this Book 241
Overview 241
Summary of Outcomes on the Research Issues 241
Addressing the Findings of the Book in the Context of the Literature 244
Balancing Private Label and Manufacturer Brands in FMCG/Supermarket Product Categories 244
Concluding Comments on Research Propositions 2b and 2c 247
Product Innovation, Category Marketing Support and Consumer Choice 249
Concluding Comments on Research Propositions 3a and 3b 249
Concluding Comments on Research Propositions 4a, 4b and 4c 251
Concluding Comments on Research Proposition 5 253
Category Strategic Policies on the Coexistence of Private Label and Manufacturer Brands in FMCG/Supermarket Product Categories 255
Concluding Comments on Research Proposition 6 255
Concluding Comments on Research Propositions 7a and 7b 257
Resultant Modified Conceptual Framework 259
Theoretical Implications 261
Implications for Marketing Practice 264
Global Implications and Comparative Case Study Examples 266
A Case Study of Switzerland and the UK 266
A Case Study of Australia 267
A Case Study of New Zealand 267
Implications for Private Label Growth 267
Drawing Conclusions from this Book 268
Directions for Further Research 268
Chapter Recap 269
Conclusion 270
References 271
Appendix 276
List of Codes Used in Data Management (Research Interview Data) 276
Glossary 281
Index 283