I written on how generic shopping can save grocery costs and it would seem that popular opinion is seeing the benefit of generic/private label groceries over the name brand options. And in one court case they ruled again on the side of a private label company.
Recently in Brandweek.com a private label company took to court a brand name company "claiming that Mead Johnson had engaged in false and misleading campaigns against its store brand products, which are sold at Walmart, Target and Krogers, among others."
Basically they stated that the generic brand of baby was inferior and had "inferior ingredients that could result in poor eye and brain development for babies".
However, the private label company said, "We have the same exact source of the lipids, with the same exact levels from the same exact supplier,” said Joe Shields, director of public relations for PBM Products. “Really, what it means is that store brand formulas are nutritionally equivalent to national brand formulas like Enfamil.”
It is unfortunate that generic/private label company don't always disclose that their food comes from the same plant as Coca-Cola or Lays as I think that would work in their favor. But perhaps it wouldn't be needed as brand name companies are seeing their revenue shrink a bit as people are seeing the value at the checkout and that there is little to no difference in taste when buying the store brand.
This generic food is not your mother's black and white cans with block letters - These generic brands are a force to be reckoned with as people see that they don't have to pay the extra $1 for frozen peas because the store's private label tastes just as good and they don't need a coupon either.
Recently Brandweek.com reported that sales for the "unbranded" groceries have increased in sales by as much as 22% for Baby food and 15% for canned seafood. On a side note since canned tuna is downsizing it cans for the same price, why not go store brand anyway.
Certainly taste will play a factor in deciding but just as some people prefer Pepsi over Coke, Store brand items will always have a good foot in the door of every home as people toss out their loyalty to a brand in order to save money and find that they don't have to sacrifice their taste buds in doing so.
You are so right.In September’s issue of Consumer Report they give the results of a study comparing store brands versus big-name brands in 29 food categories.In 19 categories they were rated the same in taste. In most cases the store brands are 27% cheaper! It doesn’t have to do with the quality of the ingredients but with the cost of packaging, advertising and marketing
I almost always buy the store brands. I've never been one that has to have the larger big-name brands. I can only imagine how much money I've saved over the years!
This is long overdue. I asked my doctor a year ago how a company could charge twice as much if what she was telling me was true, that there were the same ingredients in both?! She said it basically came down to marketing and advertising. How much more will the prices go up with all these legal fees??!!
@Mollykc
Your doc is right, marketing and advertising and as Hollis said above, include packaging in that price difference as well.