Spar launches €1m own brand initiative

Spar’s own brand participation is ahead of the market (5.3%) at 5.8%. Its own brand expansion will be supported by a €500,000 TV campaign ‘Big Display’
Spar’s own brand participation is ahead of the market (5.3%) at 5.8%. Its own brand expansion will be supported by a €500,000 TV campaign ‘Big Display’

Spar Ireland is to grow its own brand range to 260 lines this year, leveraging the group's connection to a large international buying chain

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12 June 2009 | 0

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Spar Ireland announced last month that it will invest €1 million in its own brand range this year, with plans to expand it by 30% by the end of 2009. From 1 June, the group’s network of 475 stores will have access to a range of 30 additional items covering product families such as soft drinks, biscuits, snacks, pasta and health and beauty.

According to a recent release from the group, the Irish Spar network has seen a significant upturn in sales of own brand product. In the 12 months to March, volumes increased by almost 40% and by almost 60% at Eurospar outlets.

Launching the own brand campaign, marketing and communications director for Spar Ireland, Suzanne Weldon, said: “The message from our customers is clear. They want more value and that means offering equivalent everyday products at a lower price across our entire range.

“The global reach and buying power of Spar International, along with our strong relationships with local Irish suppliers, provides us with access to a wide range of high quality everyday products at very competitive prices and we are delighted to be able to pass the benefits onto Irish consumers.”

Recent Nielsen research indicates that 80% of Irish consumers claim to buy own brand, with 46% claiming to buy more now compared with six months ago. When asked about the primary or secondary reason behind own-brand purchases, 78% of those surveyed said “it is cheaper than alternative brands,” 71% stated “the quality is just as good,” and 45% responded that brand and own label “taste the same.”

The group intends to introduce an additional 30 own brand lines later in the year, bringing the total to 260.

 

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