Private Label is the brand which owner is the retail network.
Creating private labels, the company receives control over production, quality of the goods, pricing and distribution. Usually the goods under Private Label, on average, 10-15 % cheaper than the analogues. Low publicity and marketing expenses, due to more effective advancement of the goods on a point of sale, considerably reduce the goods cost price, as consequence - lower price for products under Private Label in comparison with the similar goods of other trade marks.
Private Labels are created specially for buyers, facilitating a choice in each commodity category. Thanks to knowledge of the audience, retail networks reacts to inquiries of consumers, providing stable quality at the low price. In most cases the producers of the products under Private Labels of retail networks become manufacturers who supplies supermarkets with products under own trade mark. Private Label departments of networks have possibility to compare quality of products and deliveries of various manufacturers, demand for their trade marks, a share of sales in each category and to define the most demanded goods and potential suppliers of production under network’s Private Labels.
The average index of Private Label share in the world market makes about 20 %, but in some countries it is considerable high. In Ukraine Private Labels of networks - rather young direction, an average, share of Private Label in various networks less than 10 %, but this is one of the most perspective directions of development of Ukrainian retail market.
DE «Vortex» is the producer and supplier of the frozen berries, vegetables and vegetable mixes for two national retail networks: «Velyka Kyshenya» and «Eko-market». At production assortment there are the positions most demanded by buyers.
Information:
Ukrainian network of supermarkets «Eko-market» works since 2003. Currently the network includes 68 stores in 24 cities of Ukraine. In a category «Frozen vegetables, fruit and berries» released brand «Cold line».
Ukrainian supermarket chain «Velyka Kyshenia» works since 2000. Currently the network comprises 46 stores in 24 cities of Ukraine. In a category of «Frozen vegetables, fruits and berries» released brands «№ 1» and «Hit-product».