Private-label products could make some inroads into the food market, but their threat is likely to be further in the future.
Globally, the market share for private-label products has been just over 10% for the last eight years, and Bernstein's Mr. Wood expects it to increase at a very slow pace.
The larger Walgreen could also eventually take advantage of the lower-cost environment to make and develop private-label products in emerging markets for both its pharmacy and its health and beauty businesses .
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To boost margins, Starboard suggests that Office Depot increase higher-margin services in its North American retail unit and carry more private-label products, while reducing store size and the total number of goods sold.
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It wants to stock your brand to build traffic to its stores, but it really wants the consumer to buy Wal-Mart's private-label products once they get there, because they are far more profitable for the retailer.
He is exploring several options for growing his business, including private-label cleaning products and Clutter Cleaner franchising.
Brian Keller, a dermatopharmacologist and executive vice president of San Francisco-based Bio Zone Laboratories, which manufactures custom private-label dermatological products, offered one possible reason.
In an innovative twist on the traditional e-commerce formula, Light in the Box leverages those Chinese factories to churn out lower-cost private label products made precisely to customer specifications.
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Ninety-five percent of its products are private label and the store is a strictly no-frills operation.
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Market research firm Euromonitor International tracks private-label spending in the core grocery products sectors, including food, beverages and personal care.
In Japan private-label goods make up just 5% of Euromonitor's core grocery products.
Orchids Paper Products (No. 70) is cleaning up in selling private-label bathroom tissue and napkins to dollar stores.
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