Supply chain and logistics for supermarket franchises in India

Cost Advantage

Supermarket chains can offer lower prices by bypassing national brands and manufacturing their own private-label goods.

Quality Perception Shift

Consumers increasingly trust private-label quality, often matching national brands at a lower cost.

Category Expansion

Private labels are venturing beyond staples like canned goods, now competing in areas like organic and health foods.

Brand Loyalty Boost

Strong private-label lines can build customer loyalty to the supermarket chain itself, not just national brands.

Greater Control

Supermarkets have more control over product features, pricing, and marketing with their own private-label brands. 

Profit Margin Improvement

Higher profit margins can be achieved by selling private-label products compared to national brands. 

Manufacturer Pressure

The rise of private labels puts pressure on national brands to offer better deals and innovate to compete.

Consumer Choice

Ultimately, consumers benefit from the increased competition, leading to a wider variety and potentially lower prices.