• Recommending appropriate products based on a consumer’s past and current
Chapter 6
Differentiation Strategies III: Developing and Maintaining a Strong Private Label Program
Questions for Discussion:
1. Discuss the statement on page 141: “One measure of the success of a private label is whether
the brand is viewed as truly distinctive by its users.”
2. Describe the advantages of a strong private label program to retailers.
3. If private label goods often have higher gross profit margins to retailers than national brands,
do these private label goods necessarily have higher net profits?
4. Should product quality be tantamount to price issues for a retailer’s private label program?
Explain your answer.
5. Show how a retailer can deliver a truly distinctive product for each of these products:
6. Why do so few retailers extensively test their private label goods?
Few retailers extensively test their private label goods because
7. Develop a story concerning what makes a private label product unique for each of these
products: