Brand Names Need to Reward Consumers to Keep Them According to Study

- Integer and M/A/R/C reveal consumers purchasing store brands have no intention of switching back to brand names -

Oct 23, 2009, 12:50 ET from The Integer Group

DENVER, Oct. 23 /PRNewswire/ -- The yearlong shopper experience study currently underway by The Integer Group®( )and M/A/R/C® Research revealed those consumers who are buying more private label brands say they won't return to name brands in the foreseeable future.

"Almost eight in 10 shoppers report seeking products on sale and comparing prices between brand name and store brands when buying groceries or household products," said Craig Elston, senior vice president, The Integer Group. "With this many shoppers doing price-comparison, name brands need to act now in order to keep consumers -- and beyond the recession, entice consumers to return."

Data indicates that only 37 percent of consumers surveyed say name brands are more reliable and 39 percent believe name brands are better quality products. According to 84 percent of consumers surveyed, brand names are believed to be more expensive. This data suggests that brand names must offer incentives to consumers or they risk losing them to private labels indefinitely.

"According to our survey, we see two ways brand names can keep consumers," said Randy Wahl, executive vice president, M/A/R/C. "Consistently delivering on brand promises, and offering financial rewards such as coupons and discounting."

Although the study shows consumers are most concerned about price, there are some brands such as Kraft®, Coca-Cola®, and Tide® that shoppers say they are least likely to trade for store brands. Consumers also consider Kroger®, Walmart, and Target to be stores that carry the best private-label brands.

Data for The Checkout comes from a national survey conducted by Integer and M/A/R/C where consumers are asked about their shopping attitudes, shopping behaviors, and economic outlook. Topics range from criteria shoppers use to select retailers, to which in-store stimulus is most likely to drive purchase, to factors that might lead shoppers to leave an aisle empty-handed. The Checkout is available for download at Integer's blog or M/A/R/C's web site

About The Integer Group

The Integer Group ( is one of America's largest promotional and retail marketing agencies and a key member of the TBWA Marketing Services portfolio. The Integer Group resides at the intersection of branding and selling and creates strategic marketing solutions for clients in categories that include beverage, packaged goods, telecommunications, fast food, home and shelter, and power sports.

About Omnicom

Omnicom Group Inc. (NYSE: OMC) ( is a leading global marketing and corporate communications company. Omnicom's branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations, and other specialty communications services to over 5,000 clients in more than 100 countries.

About M/A/R/C® Research

M/A/R/C® Research ( is a brand development firm dedicated to helping clients create, evaluate, and strengthen their brands. Our teams design and execute qualitative and quantitative, traditional and online solutions while adhering to a client-service ethic built on being easy to work with and delivering what is promised. Our core competency is measuring attitudes and behaviors to accurately explain and predict market share, revenue, and bottom line impact of a client's actions. We help our clients address consumer, channel, and B2B marketing issues to launch better products and services, attract and retain valuable customers, and build stronger brands. Our proven, marketing-issue focused solutions, support clients' brand building efforts.

SOURCE The Integer Group