Consumer Perception of Brand Name and Generic Products

During the recession, many families had to tighten their budgets in a variety of ways, including buying less expensive, generic products. The lifestyle changes have had lasting effects on consumers because people have learned to price shop and found that generic products provide high value at lower costs.

Hardware Retailing analyzed consumer brand perception in its 2013 Branding Survey. The survey identified how often consumers purchase name brand products and how brand name matters in certain categories but not in others.

The graph identifies how men and women react when a home improvement store doesn’t have their preferred name brand products in stock. For the most part, men and women respond similarly, but women are more likely to purchase a comparable generic product whereas men are more likely to switch to another name brand product.

Applied to Retail: Men and women shop slightly different, yet in one category they are exactly the same. Twenty-two percent of the men and women surveyed would seek out another source, be it another store or an online retailer, if the store they were initially shopping at did not have their preferred name brand  product available. These statistics show the importance of having items in stock and ensuring your shelves are full and organized.

To keep shoppers in your store if you are sold out of a certain brand, coach sales associates to direct customers to substitutes or offer special orders.