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Investigating the Cross-Category Effects of Store Brands

Author

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  • Serdar Sayman
  • Jagmohan S. Raju

Abstract

Our study examines the cross-category effects of store brand products in other categories on the products in a target category. Using scanner data for 13 product categories, we find that higher number of store brands in other categories increases the store brand share in the target category. In addition, share of the leading national brand in the target category is negatively affected by the number of store brands in other categories. Our results do not offer evidence for the effects of store brand promotions in other categories on both the store brand and the national brands in the target category.

Suggested Citation

  • Serdar Sayman & Jagmohan S. Raju, 2004. "Investigating the Cross-Category Effects of Store Brands," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 24(2), pages 129-141, March.
    • Handle: RePEc:kap:revind:v:24:y:2004:i:2:p:129-141
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    Citations

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    Cited by:

    1. Szymanowski, M.G., 2009. "Consumption-based learning about brand quality : Essays on how private labels share and borrow reputation," Other publications TiSEM b12825d8-5e21-4437-adda-b, Tilburg University, School of Economics and Management.
    2. Mao, Zhixin & Duan, Yongrui & Yao, Yuliang & Huo, Jiazhen, 2021. "The moderating effect of average wage and number of stores on private label market share: A hierarchical linear model analysis," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    3. Aydin Celen & Tarkan Erdogan & Tarkan Erdogan, 2005. "Fast Moving Consumer Goods: Competitive Conditions and Policies," ERC Working Papers 0503, ERC - Economic Research Center, Middle East Technical University, revised Jun 2005.
    4. Daunfeldt, Sven-Olov & Orth, Matilda & Rudholm, Niklas, 2008. "Does the Quality of Store Brands Affect the Number of National Brand Suppliers?," HUI Working Papers 18, HUI Research.
    5. Tiziano Bursi & Giovanna Galli, 2015. "Le imprese italiane dell?industria agro-alimentare: mercati internazionali, relazioni di canale e strategie e politiche di branding," MERCATI & COMPETITIVIT?, FrancoAngeli Editore, vol. 2015(2), pages 15-32.
    6. Gaviglio, Anna & Demartini, Eugenio & Pirani, Alberto & Marescotti, Maria Elena & Bertocchi, Mattia, 2015. "National Brands versus Private Labels versus Niche Products: a graphical representation of consumers' perception," 143rd Joint EAAE/AAEA Seminar, March 25-27, 2015, Naples, Italy 202731, European Association of Agricultural Economists.
    7. Sckokai, Paolo & Soregaroli, Claudio, 2008. "Impact of private label development across retail formats: Evidences from the Italian dairy market," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement (RAEStud), Institut National de la Recherche Agronomique (INRA), vol. 87(2).
    8. Yasin Alan & Mümin Kurtuluş & Chunlin Wang, 2019. "The Role of Store Brand Spillover in a Retailer’s Category Management Strategy," Manufacturing & Service Operations Management, INFORMS, vol. 21(3), pages 620-635, July.
    9. Bolandifar, Ehsan & Chen, Zhong & Zhu, Kaijie, 2021. "Managing competitive levers in a collaborative distribution channel," European Journal of Operational Research, Elsevier, vol. 293(3), pages 1031-1042.
    10. Marta Arce-Urriza & Javier Cebollada, 2018. "Assesing the success of private labels online: differences across categories in the grocery industry," Electronic Commerce Research, Springer, vol. 18(4), pages 719-753, December.
    11. Wu, Lifang & Yang, Wei & Wu, Jessica, 2021. "Private label management: A literature review," Journal of Business Research, Elsevier, vol. 125(C), pages 368-384.
    12. Sheikh Basharul Islam & Suhail Ahmad Bhat & Mushtaq Ahmad Darzi, 2021. "Determining the Influence of Private Labels on Sales of National Brands: A Qualitative Approach," FIIB Business Review, , vol. 10(2), pages 133-145, June.
    13. Vroegrijk, Mark & Gijsbrechts, Els & Campo, Katia, 2016. "Battling for the Household's Category Buck: Can Economy Private Labels Defend Supermarkets Against the Hard-Discounter Threat?," Journal of Retailing, Elsevier, vol. 92(3), pages 300-318.
    14. Keller, Kristopher O. & Dekimpe, Marnik G. & Geyskens, Inge, 2022. "Adding budget and premium private labels to standard private labels: Established empirical generalizations, emerging empirical insights, and future research," Journal of Retailing, Elsevier, vol. 98(1), pages 5-23.
    15. Paul W. Dobson & Ratula Chakraborty, 2014. "How Do National Brands And Store Brands Compete?," Working Paper series, University of East Anglia, Centre for Competition Policy (CCP) 2014-07, Centre for Competition Policy, University of East Anglia, Norwich, UK..
    16. Groznik, Ana & Heese, H. Sebastian, 2010. "Supply chain interactions due to store-brand introductions: The impact of retail competition," European Journal of Operational Research, Elsevier, vol. 203(3), pages 575-582, June.

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