Development of Chinas own brand retailer.docVIP

 PAGE \* MERGEFORMAT 7 Development of China’s own brand retailer Abstract: As a new profit growth point and to avoid competition or to obtain a competitive advantage means to keep its own branding strategy adopted by the various retailers, and in the country has achieved a certain degree of development, but domestic retailers own-brand strategy is still at an exploratory stage, the development process there are still a lot of misunderstanding and problems for the domestic retailers own brand creation process presents a number of issues related discussion. Keywords: Retailer own brand; manufacturer’s brand 1 Create own brand strengths and conditions The long-term battle with the manufacturer’s profits and increasing competition in the industry, making a number of retailers have committed to another way to look for new development measures, therefore, managing their own brands into a number of retailers to gain competitive advantage and new profit growth point of the inevitable choice . The reason why its own brand sought after by many retailers, no more than three reasons: the development of its own brand, one can enrich the supermarket product categories, increase sales revenue and profits; 2 is different from its competitors, the formation of different operations, on own-brand products through consumer loyalty into loyalty to the store; third, to have more autonomy to raise with the manufacturer’s bargaining power. And as opposed to manufacturers, retailers, operating its own brand goods, has the following advantages: (1) channel edge. Own brand products are mostly used OEM (OEM) production processes, through its own sales network, eliminating intermediate agents links, you can save a lot of transaction costs and distribution costs; the other hand, the store can take advantage of the terminal benefits of the self - brand name products for flexible and effective promotion and publicity, and can take full advantage of its goodwill asset, the use of consu