If you were around in the 80’s like I was, maybe you remember the “generic brand” at your local grocery stores.
I’m talking about the plain white packages with only black block letters and a bar code on them.
Those black block letters spelled out things like BEANS, BEER, COLA… and who could forget LUNCH LOAF.
It’s not the most appealing product name, but you could probably argue that “Lunch Loaf” is no less appetizing than the word “Spam.”
A far cry from all the cool brand names and catchy slogans we’re used to, the marketing strategy behind the generic craze back in the day, was simply to be cheap.
That’s it. Low price. That was the only goal, and it was also the only competitive advantage this brand had.
Today the generic brand is gone, but in its place are numerous private label store brands. And if you asked most consumers, you’d find that the majority of them believe that their local grocer’s “private label” store brand is of equal if not better quality than the national brand.
Many recent studies have shown that private label products are growing at a steady pace, and in the grocery business, private label brands now account for a lion’s share of the grocery business.
Think about how you shop. When you buy eggs, do you feel like you have to buy a major brand? Or are you just as happy with the store brand? If you’re like most people, you’re perfectly happy to buy the eggs with your local store’s logo on it instead of the national brand. In fact, because it’s local it may be MORE trusted as well.
All the egg and lunch loaf conversation aside… you’re probably wondering how this applies to you as a contractor.
The same principles that have turned numerous companies in other industries into profitable private label masters can also be applied to service contractors. Continue reading “Selling the Brand of You”