A Study on the Branding Strategy of PB (Private Brand) in China’s Hypermarkets

Abstract

In recent years, the competition among each country’s retail enterprises has increasingly stepped into the most intense phase. PB strategy also becomes a trump card of multinational retailers for seizing Chinese market. However, PB was developed relatively late in China. Chinese hypermarkets blindly insist on the low price penetration strategy in the R&D of PB, thus the products’ brand image is ignored. This research aims at mastering the existing problems of Chinese hypermarkets’ PB and proposing suggestions to its future development. Firstly, the relevant attitude investigation to 200 consumers is carried out through internet, and secondly, the comparative research on Chinese and foreign PB visual image is made. Investigation results show that the brand structure of Chinese enterprises’ PB is free standing, the lower brands are relatively single. Comparing to Korean enterprises, there is no brand differentiation. Consumers’ recognition and preference to PB are relatively low. The quality of PB products is poor and the imitativeness is strong. Meanwhile, the marketing activities of all aspects of Chinese PB branding are standstill. It is necessary for Chinese PB to make brand differentiation and brand image optimization according to product attributes. Meanwhile, the cognition to packaging, display and branding form shall be improved. Moreover, the active market activities shall be implemented.