Quality Perceptions of Private Label Brands: Conceptual Framework and Agenda for Research
Abhishek and
Abraham Koshy
No WP2008-02-04, IIMA Working Papers from Indian Institute of Management Ahmedabad, Research and Publication Department
Abstract:
Private Label brands had seen an impressive growth in past few decades. Though, initially private label brands had a low-priced strategy, retailers made efforts for serious quality improvements in recent years. However, they have continued to suffer from poor quality perceptions. Previous research dealing with quality perceptions of store brands did not adequately examine the ways to improve the quality perceptions of private label brands. The paper examines how retailers can influence the quality perceptions for private label brands by providing additional information cues to the customers. The nature of additional information cues may have differential impact on quality perceptions of private label brands vis-à-vis national brands. The paper proposes extrinsic high scope cues – in form of manufacturer’s name and public quality label – to improve the quality perceptions of private label brands. Furthermore, the familiarity of the product may influence the quality perceptions, consequently influencing the purchase decision. The paper also proposes differential impact of information cues across different product categories on quality perceptions of private label brands.
Date: 2008-02-04
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