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Procedia
Procedia Computer Science 00 (2017)
(2017)000–000
Procedia Computer
Procedia Computer Science
Computer Science 122
Science 00
00 (2017)
(2017) 587–594
000–000
000–000
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Information
Information Technology
Information Technology and
Technology and Quantitative
and Quantitative Management
Quantitative Management (ITQM2017)
Management (ITQM2017)
(ITQM2017)

Consumer’s
Consumer’s Perspective
Perspective and
and Retailer's
Retailer's Consideration
Consideration Towards
Towards
Purchase of Private Label Brands
Purchase of Private Label Brands
a, b
Debdeep
Debdeep De
Debdeep Dea,a,*,
De *, Ajay
*, Ajay Singh
Ajay Singhbb
Singh
a
a
a Assistant
Assistant Professor,
Professor, Jaypee
Jaypee Business
Business School,
School, Jaypee
Jaypee Institute of Information
Institute of Information Technology,
Technology, INDIA
INDIA
Assistant
b
bResearchProfessor,
Scholar, Jaypee
Jaypee Business
Business School,
School, Jaypee
Jaypee Institute
Institute of
of Information
Information Technology,
Technology, INDIA
INDIA
bResearch Scholar, Jaypee Business School, Jaypee Institute of Information Technology, INDIA
Research Scholar, Jaypee Business School, Jaypee Institute of Information Technology, INDIA
Abstract
Abstract
Abstract
This
This study examines
examines the relationship
relationship between key key attributes such
such as (price
(price consciousness, quality
quality variability, brand
brand image ,,
This study
study examines the the relationship between
between key attributes
attributes such as as (price consciousness,
consciousness, quality variability,
variability, brand image
image ,
store image
store image and
and smart-shopper
smart-shopper self-perceptions)
self-perceptions) towards
towards purchase
purchase of of private
private label
label brands
brands byby Indian
Indian consumers
consumers andand how
store image and smart-shopper self-perceptions) towards purchase of private label brands by Indian consumers and how how
consumers prioritize
consumers prioritize different attributes
attributes in making
making purchase decision
decision of private
private label brands.
brands. Hypothesis framed
framed was tested
tested
consumers prioritize different
different attributes in
in making purchase
purchase decision of of private label
label brands. Hypothesis
Hypothesis framed was was tested
by gathering
by gathering data on on select Indian
Indian retailers inin Food & & Grocery and and clothing & & apparel segment
segment and assessed
assessed through
by gathering datadata on select
select Indian retailers
retailers in Food
Food & Grocery
Grocery and clothing
clothing & apparel
apparel segment and and assessed through
through
multiple
multiple regression analysis. This paper also studies the impact of socio-demographic attributes such as (age,
(age, gender,
multiple regression
regression analysis.
analysis. This
This paper
paper also
also studies
studies the
the impact
impact ofof socio-demographic
socio-demographic attributes
attributes such
such asas (age, gender,
gender,
occupation, income
occupation, income and qualification)
qualification) on purchase
purchase of private
private label brands
brands by using
using cross tabulation
tabulation technique. The The finding
occupation, income and and qualification) onon purchase of of private label
label brands by
by using cross
cross tabulation technique.
technique. The finding
finding
of the
of the study reveals
reveals preference adopted
adopted by consumers
consumers on purchase
purchase of PLBs
PLBs on thethe identified attributes
attributes in which
which brand
of the study
study reveals preference
preference adopted by by consumers on on purchase of of PLBs on on the identified
identified attributes in in which brand
brand
image is
image is the most
most crucial factor
factor and self
self perception is is the least
least significant factor,
factor, and the
the findings on on socio-demographic
image is the
the most crucial
crucial factor and
and self perception
perception is thethe least significant
significant factor, and
and the findings
findings on socio-demographic
socio-demographic
factor reveals
factor reveals that all
all factors have
have positive impact
impact towards purchase
purchase of PLBs.
PLBs. Based on on the findings
findings it isis suggested that
that
factor reveals that
that all factors
factors have positive
positive impact towards
towards purchase of of PLBs. Based
Based on thethe findings itit is suggested
suggested that
retailers of
retailers of PLBs
PLBs should
should adopt
adopt appropriate
appropriate strategies
strategies for
for increasing
increasing the
the revenue
revenue from
from PLBs
PLBs inin their
their stores.
stores.
retailers of PLBs should adopt appropriate strategies for increasing the revenue from PLBs in their stores.
©
© 2017
© 2017TheTheAuthors.
Authors. Published
Published by Elsevier
by Elsevier
Elsevier B.V. B.V.
© 2017The
2017The Authors.
Peer-review Authors.
under
Published
Published by
by Elsevier
responsibility
B.V.
of the B.V.
scientific
Selection
Selection
Selection
and/or
and/or peer-review
peer-review
and/or peer-review
under
under responsibility
responsibility
underITQM
responsibility
of thecommittee
of the organizers of ITQM
organizers of
of the 5th2017
ITQM International Conference on Information Technology
2017
and Quantitative Management, 2017. of the organizers of ITQM 2017
Keywords:
Keywords: Private labels;
Private labels; Private
labels; Private label
Private label brands
label brands (PLBs);
brands (PLBs); Store
(PLBs); Store Brands;
Store Brands; Consumer
Brands; Consumer preference;
Consumer preference; socio-demographic
preference; socio-demographic variables;
socio-demographic variables; Multiple
variables; Multiple
Multiple
Keywords: Private
regression; retailers
regression; retailers brand;
retailers brand; store
brand; store image.
store image.
image.
regression;

1.
1. Introduction
Introduction
1. Introduction
India is
India is found
is found
found toto be
to be third
be third most
third most attractive
most attractive retail
attractive retail destination
retail destination among
destination among thirty
among thirty emerging
thirty emerging markets
emerging markets globally
markets globally [1].
globally [1].
[1].
India
Indian Retail Industry is anticipated to grow by 950 billion dollars till 2018 with yearly growth of
Indian Retail Industry is anticipated to grow by 950 billion dollars till 2018 with yearly growth of
Indian Retail Industry is anticipated to grow by 950 billion dollars till 2018 with yearly growth of
approximately
approximately 8.9 percent since last decade [2]. Indian online retail market is also anticipated to increase from
approximately 8.98.9 percent
percent since
since last
last decade
decade [2].
[2]. Indian
Indian online
online retail
retail market
market isis also
also anticipated
anticipated to
to increase
increase from
from
3.1
3.1 billion dollars to 22 billion dollars (from around 10 per cent to greater than 15 per cent of the organized
3.1 billion
billion dollars
dollars to
to 22
22 billion
billion dollars
dollars (from
(from around
around 10
10 per
per cent
cent toto greater than 15
greater than 15 per
per cent
cent of
of the
the organized
organized
retail market) since year 2013 till year 2018 [2]. According to Neilson Global report 2014, Europe has the
retail market) since year 2013 till year 2018 [2]. According to Neilson Global report 2014, Europe has
retail market) since year 2013 till year 2018 [2]. According to Neilson Global report 2014, Europe has the
the
highest
highest private
private label
label brand
brand share
share of
of approximately
approximately 45
45 percent
percent from
from last
last ten
ten years
years followed
followed by
by US,
US, Canada
Canada and
and
highest private label brand share of approximately 45 percent from last ten years followed by US, Canada and
Australia having
Australia having approximately
having approximately
approximately 18 18 percent
18 percent share
percent share of
share of private
of private label
private label brand
label brand which
brand which explains
which explains the
explains the tremendous
the tremendous growth
tremendous growth
growth
Australia
of
of Private
Private Label
Label brands
brands in
in past
past years
years across
across the
the globe.
globe. Private
Private Label
Label Brands
Brands (PLBs)
(PLBs) are
are gaining
gaining huge
huge popularity
popularity
of Private Label brands in past years across the globe. Private Label Brands (PLBs) are gaining huge popularity
these days.
these days. Private
days. Private label
Private label market
label market share
market share has
share has increased
has increased and
increased and is
and is growing
is growing rapidly.
growing rapidly. Private
rapidly. Private labels
Private labels brands
labels brands are
brands are the
are the
the
these

* Corresponding
* Corresponding author.
author. Tel.: +91-9899425506
+91-9899425506
* Corresponding
E-mail author. Tel.:
Tel.: +91-9899425506
address:debdeepde@gmail.com
E-mail
E-mail address:debdeepde@gmail.com
address:debdeepde@gmail.com

1877-0509 © 2017 The Authors. Published by Elsevier B.V.

Peer-review under responsibility of the scientific committee of the 5th International Conference on Information Technology and
Quantitative Management, ITQM 2017.
10.1016/j.procs.2017.11.410
588 Debdeep De et al. / Procedia Computer Science 122 (2017) 587–594
Debdeep De and Ajay Singh/ Procedia Computer Science 00 (2017) 000–000

products entirely owned by the retailer. Private label products are produced, distributed, sold & operated by the
retailers usually known as in house brand, self-label brands, dealers store brand as well as retailer’s brands [3].
Private label products are manufactured by, or on behalf of, retailers and sold beneath the same name of
retailers' or trademark under their own stores [4]. Another definition given by researchers simply defined
private label as a brands that is owned, sold and distributed by the retailers themselves [5]. Therefore, Private
label products are sold and manufactured by the retailers under their own umbrella. Private Label
Manufacturer’s Association (PLMA) has defined Private Label as a product that encompasses all goods sold
beneath the retailer’s brand name, it may be own name of retailer’s or a name exclusively suggested by that
retailer. The retailers brand term is often exchanged with store brand, in house brand, private label or own-label.
The private label products had come across largely from last few decades. Nowadays private label brands are
available in almost every category of the products such as in food and grocery we have tasty treat, golden
harvest in big bazaar, in case of clothing and apparels we have Network, Net play in Reliance trends and Stop
brand in shopper stop etc. Initially private label were assumed as a cheap and low cost substitute to the
established brand but currently they have emerged as a well planned marketing strategies by the retailers to
catch the attraction of the consumers and also they have established themselves as a branded product and are
currently giving competition to the leading brands in quality terms. Currently private label brand has evolved in
almost every product categories. India found to be under developed in retail market scenario among south east
Asia with current retail market penetration 5 percent as compared to 45 percent in majority of Asian market in
south east region. Moreover, in case of the private label brand India is leading as the penetration of private label
brands has increased up to 27 percent from year 2012 till 2014 [6]. Majority of retailers are providing variety of
offerings in the various product categories, Big bazaar, Shoppers Stop, Spencer’s, Pantaloons etc are among
few of them. For instance, share of private label products in Spencer’s is 60 percent among its 650 different
product categories, and the private label product sales is growing approximately at the rate of 40 percent
annually. Contribution of private label products in Lifestyle International is around 25 percent of its sales etc.
[7].
Earlier Private label brand was introduced by the retailers as the low cost alternative compared to the
manufacturer brand. Private label was defined as generic product offering price value proposition to the
consumers. Often the lower priced alternative, private label or store brands carried inferior quality image and
thus considered less trustworthy as well as low confident products by consumers. Retailers are continuously
pushing larger number of private label products into different categories in their outlets since they represent
higher margins and the greater profitability with relatively lesser or no marketing effort. In today’s global
scenario of private label brand where share in European countries is around 45% it becomes increasingly
important for the retailer to understand consumer perspective as they are looking private label products as
favourable substitute to manufacturer brand.
Consumers in the cosmopolitan environment are moving to purchase products in hyper market and super
markets it has become important for retailers to understand the consumer choice of different product categories
and provide them better value for money to the products they purchase. Consumers are sensitive towards price,
however price is not only the single factor for products purchase decision, particularly in Food and Grocery
which is having the largest market share of 69 percent subsequently clothing and apparels with 8 percent
market share in organized retail [1]. Nowadays consumers are more cautious while they spend money. As said,
different retailers are getting involved in producing private label as they can avail benefit by giving variety of
product offerings thereby increasing their profitability. Hence private label brand retailers are launching
innovative products in their supply chain which was not brought earlier. Therefore, if a retailer can capture the
local choice and preferences of the consumers effectively by providing them premium quality private label
products then they can create differentiated image when compared to other stores and can become destination
stores. Indian retail is emerging and with the increased footfall in Indian hypermarket and supermarket private
labels will grow from infant stage to maturity stage in future. This research aims at understanding the
 Debdeep De et al. / Procedia Computer Science 122 (2017) 587–594 589
Debdeep De and Ajay Singh / Procedia Computer Science 00 (2017) 000–000

consumers perception and attitude towards purchase of PLB products. There are only few significant study in
understanding consumer perception towards private label brands in India. In this light, the objectives of the
study are set as follows:
• To study the impact of key attributes (price consciousness, quality variability, brand image , store image and
smart-shopper self-perceptions) towards purchase of private label brands
• To examine the impact of socio-demographic factors ( age, gender, occupation, income and qualification)
on purchase of private label brands

2. Literature Review

Consumer buying behaviour is defined as a procedure of choosing, buying, consuming and disposing of
products or services by the individuals or groups with the aim of satisfying their needs & wants [8].Another
author explains consumer buying behaviour as a actions that consumers demonstrate while choosing and
buying the products or services within the available resources in order to meet their needs and desires [9]. From
marketers’ view point key feature of consumer behaviour which needs to be investigated consists of the reasons
behind consumers making purchases, major factors that influences the trend of consumer purchases,
understanding of varying factors among and outside the society. Further study explaining the significance of
understanding consumer behaviour towards buying and the various methods which customer uses while
choosing their products and services which may be very crucial for manufacturers along with service providers
as this gives them the competitive leverage against their competitors in different aspects [10].A Model of
Impulse Purchase of New Products explains various determinants of impulse purchases which consist of
different consumers’ characteristics (i.e. esteem and excitement) and prior product knowledge (as suggested by
experts and consistency with social norms). Information about the new product and consumer descriptions such
as consumer excitement and consumer self esteem can drive impulse or sudden buying behaviour and
intention[11]. The consumer perspective of purchase decision is dependent on:
• The consumer’s psychology of how they feel, think, reason and choose among different alternatives (e.g.
products, quality, price, brands, etc).
• The psychological influence of consumers such as perception and learning and impact of consumer’s
external environment (e.g., culture, family, media, signs).
• The behavior of consumer while shopping or making marketing decisions towards any products.
• Decisions are influenced by consumer knowledge about products or services as well as information
processing abilities.
• To what extent marketing campaigns appeal the consumer and influence their decision making.
For carrying out this research it is crucial to understand the concept and evolution of Private labels along
with their significance, and priorities of consumers towards brands and store image. It is found that [12] price
and quality are the two crucial factors considered by consumers for purchasing any products and there is a
significant association between them. Along with price, quality is other key attribute in consumer buying
decision [13]. Another research [14] stated that in case of private-label brands both the price and quality are the
crucial factors considered by consumers but if the quality offered is same for both private and other brands,
then at that moment consumer give more weight age to price therefore price becomes the key factor. In the
same way past studies have shown that consumer level of price-consciousness increases with lesser incomes
which is very large among the consumers who are deal-prone as they believe less in association of price and
quality [15]. The consumers who are price sensitive generally lack knowledge about perceived risk, have less
brand loyalty and every time they look for promotional offers by the stores and do not consider quality of
products. Consumer perceive the quality from the price of the product they have common opinion that the low
price products are poor in quality as they consist of ingredients which lacks the minimum quality standards
[16]. Research had identified that quality is the key determinant that attract consumers towards national brands
590 Debdeep De et al. / Procedia Computer Science 122 (2017) 587–594
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[17]. While the level of quality varies from retailer to retailer, private label products however are generally
inferior to manufacturers’ brands [18].
In case of private label brand the consumer does not have strong brand association hence it becomes
difficulty increases ,Moreover researchers have explored store image as a crucial attribute for store brand
quality [19].Past Studies had identified different attribute that influences the store image of retailers which
includes the quality and offering in terms of product variety, improved services, and different brands sold ;
stores physical appearance ; behaviour of employees and their service quality ; the level of prices , frequency
and duration of in house promotions; and so on [20].
It is found that store brand (SB) has a favourable impact on the retailer image. The image of store brand
price is positively associated with the image of retailer [21].The customer associate values of store brand with
the retailer’s image. It is observed that perceptions of store image, SB price-image, SB attitude and value
consciousness, have significant as well as positive impact on SB purchase behaviour [22]. The smart shopper
self-perception is a characteristic that associates the need of shopper's to get inner satisfaction by getting price
savings through purchase decision [23]. It is also suggested that the self-perception of smart shopper's would
have a favourable impact on the attitude by the shopper toward store brands along with attitude toward leading
or manufacturer brand promotions. It was also certified that this attribute has a larger impact on the attitude
toward leading brand promotions because store brands are time and again sold at relatively lower prices.
As we have seen that consumer while choosing the branded products or private label products consider
different factors. Taking into consideration the literature as described above identified few of these factors such
as store image, product variety and quality of the products, different alternatives available among leading
brands i.e. The brand architecture type, promotional offers going on, prices, in store service, influencing
abilities of salesman’s etc. So, this study is majorly focussing on these key factors.

3. Research Methodology

From the exploratory study it is seen that five different attributes price consciousness, quality variability,
brand image, store image and self perception are the most crucial factors that a consumer looks in a private
label product while making the purchase decision especially from Food & Grocery and Apparels & Clothing
industry of organised retail sector. This is done with the help of extant literature review and then discussing the
relevance of the identified dimensions with domain and industry experts followed by exploratory factor
analysis. This study presented the analysis of impact of variables on consumer purchase decision. For this a
structured questionnaire was developed and items were presented as declarative statements and respondents
were asked to tick the category specifying their degree of agreement or disagreement for each respective item.
To obtain information, research Instrument, a Structured Questionnaire containing 18 items on Likert Scale (1
to 5) and five items related to demographic profile was developed. The questionnaire was administered in Delhi,
Noida, Ghaziabad and Gurgaon. 550 questionnaires were distributed in various malls of NCR Region to gather
data from the consumer in Food and grocery and Apparel and Clothing Stores such as Big Bazaar, Easy day,
Shopper Stops, Pantaloons, Reliance trends etc. The survey was done from the consumers on the shop floor at
the time when a sale is closed. The sampling design includes Selection of Stores by Judgment Sampling
technique which is based on following three criteria like revenue, footfall and location of stores. The selection
of consumer is done by Store Intercept Method from PLB Consumers from various stores in NCR Region as
shown below.

Table 1.Sample Distribution

Store
Complete
Company Name Selected Region
Response
(In NCR) Total Distribution Response %
 Debdeep De et al. / Procedia Computer Science 122 (2017) 587–594 591
Debdeep De and Ajay Singh / Procedia Computer Science 00 (2017) 000–000

FOOD & GROCERY 10 NCR 300 282 94

Big Bazaar 2 Ghaziabad, Noida 105 95 90

Easy day 3 Delhi, Noida, Ghaziabad 105 102 97

MORE 1 Noida 30 28 93
Spencers 1 Gurgaon 30 28 93
Vishal MegaMart 3 Delhi, Ghaziabad, Noida 30 29 97
APPARELS &
CLOTHINGS 5 NCR 250 240 96
Shopper Stop 1 Gurgaon 62 60 97
Pantaloons 2 Delhi 50 45 90
West Side 1 Noida 50 48 96
Reliance Trends 1 Ghaziabad 88 87 99
As shown in the above table 1, total 10 stores in Food and Grocery and 5 stores in Apparels & clothing of
select retailers of NCR Region was surveyed. Out of 550 respondents 300 respondents (55%) Quota was
assigned to Food and grocery and 250 respondents (45%) quota was assigned to Apparels and clothing retailers
to cover the respondents across NCR Region of India. In the distribution 94% of response was received from
Food & Grocery retailer and 96% response were received from Apparels & clothing. Quota Sampling
technique was used to administer a consumer survey. The respondents were categorized according to the
location in Delhi, Ghaziabad, Noida of the National Capital Region as they represent urban population of the
country who majorly shops in the malls and organized retail sectors.

4. Data Analysis

In the current study the dependent variable identified is PLB Purchase decision and its relationship with
various independent variables explored in the research are price consciousness, brand image, quality variability,
consumer self perception and store Image. The multiple regression is conducted to analyse the impact of
different independent variables price consciousness, brand image, quality variability, consumer self
perception and store Image on the dependent variable PLB Purchase decision.

Table 2. Regression Model Summary

Model R R Square Adjusted R Square Std. Error of the Estimate Durbin-Watson

a
1 .775 .600 .596 .645 2.004
a. Predictors: (Constant), Store_Image, Self_Perception, Quality_Variabilty, Brand_Image, Price_Conciousness
b. Dependent Variable: PLB Purchase decision

This table 2 gives the model summary for the set of Independent and dependent variables. R Square for the
model is .600 which means that 60% of variation in dependent variable(PLB Purchase Decision) is explained
by the five independent variables price consciousness, brand image, quality variability, consumer self
perception and store Image. The Durbin Watson statistic for the model is 2.004 .The desired value should be in
the range 1.5 to 2.5. Hence assumption that the residuals are uncorrelated are valid.

Table 3. Regression Coefficients

Unstandardized Coefficients Standardized Coefficients

Model B Std. Error Beta T Sig.
1 (Constant) 3.314 .028 117.459 .000
Price_Conciousness .300 .028 .295 10.610 .000
Brand_Image .665 .028 .655 23.549 .000
592 Debdeep De et al. / Procedia Computer Science 122 (2017) 587–594
Debdeep De and Ajay Singh/ Procedia Computer Science 00 (2017) 000–000

Quality_Variabilty .228 .028 .225 8.070 .000

Self_Perception .043 .028 .042 1.525 .128
Store_Image .179 .028 .177 6.351 .000
a. Dependent Variable: PLB Purchase Decision
Above table 3 gives the regression coefficients and their significance, it is found that contribution of Brand
Image is maximum in the PLB purchase decision followed Price consciousness, Quality variability, Store
image and self perception. All independent variables ate significant except self perception of PLB Consumers.
The equation can be considered as :
PLB Purchase Decision = 3.314+ 0.3*(Price Consciousness) +0.655*(Brand Image) +0.228*(Quality
Variability) +0.043*(Self Perception) +0.179*(Store Image).
4.1 Inter Construct Correlation- It is essential to understand the correlation among different constructs
(variables) to check the evidence of multi co linearity. Multi co linearity explains the independence of different
variables.

Table 4. Inter Construct Correlation

Constructs Price consciousness Quality variability Brand Image Self Perception Store Image
Price consciousness 1 .543 .478 .530 .488
Quality variability .543 1 .424 .420 .464
Brand Image .478 .424 1 .476 .300
Self Perception .530 .420 .476 1 .366
Store Image .488 .464 .300 .366 1
At 5% Level of significance
Low value inter variable (construct) correlation means that the constructs are significantly different from
each other. In the above table store image and brand image is having the weakest correlation of 0.300 which
explains that there both store image and brand image are considered extremely different by the PLB consumers.
Other inter construct correlation are also weak and less than 0.05 which explains that there is no relationship
among all these five constructs. Hence these constructs does not show any evidence of multi colinearity hence
all five attributes are independent. All these value at significant at 5% level of significance (p<0.05).
4.2 Cross Tabulation- A cross tabulation technique is used for studying frequency distribution of two or
more than two categorical variables. Contingency table analysis is used for all the five demographic variables
which display case distribution by their values. It is one of the more commonly used non parametric data
analytics technique in the social sciences. The frequency distribution is studied by using the chi square statistic
that determines whether there exis a relationship among variables.

Table 5.Cross Tabulation Results (Demographics Vs PLB Purchase Decision)

Demographics Pearson Chi- df Asymp. Sig. (2-sided)

Square Value
Age 50.070 12 .000
Gender 11.128 4 .025
Occupation 29.737 12 .003
Income 46.623 12 .000
Qualification 25.669 12 .012
From the above Table 5, Cross tabulation between demographic profile of respondents and the PLB
purchase decision was done which shows that all the five demographic variables Age, Gender, Occupation,
Income and qualification is having significant relationship with the consumer purchase decision towards
private label brands as the p value is less than 0.05( p<0.05).As shown in above table Age is the most
 Debdeep De et al. / Procedia Computer Science 122 (2017) 587–594 593
Debdeep De and Ajay Singh / Procedia Computer Science 00 (2017) 000–000

prominent demographic factor having chi square value 50.070 followed by Income having chi square value
46.623 thereafter occupation with chi square value 29.737, qualification with chi square value 25.669 and
finally gender with chi square value 11.128.

5. Conclusion

This study identifies the key attributes that are responsible in consumer purchase decision for private label
brand in Food& Grocery and Clothing & apparel segment of major Indian retailers. Several attributes were
identified through literature review for Private label brands. Five of them namely Price Consciousness, Quality
Variability, Brand Image, Store Image and Self Perception comprising of 18 items were surveyed from the top
retail stores of food & grocery and clothing & apparels in NCR Region. Causal Analysis identified the most
significant and discriminating factor as Brand image for PLB purchasing followed by price consciousness,
quality variability and store image. Self perception found to be least significant as it varies from individual to
individual. Thus the study concludes that in Indian context for PLB manufacturers it is important to understand
that:
• Brand Image of PLBs is most important that would attract more and more consumers visiting their stores.
• Indian consumers are more price sensitive towards PLBs.
• Since PLBs are available in specific stores only so product variety would enable to improve their store
image while trying to keep their consumer loyalty.
• Innovation and continuous quality improvement of the PLBs will allow the consumer perception about
PLBs to improve.
• In a dynamic business environment PLB consumers are highly sensitive and thus gauging their changing
perception would add value to the product offerings of PLBs.
• PLB are purchased by youth and consumers income level also effect PLB purchase decision hence retailers
should consider consumer demographic while adopting PLB.

6. Recommendations and Future Research Direction

Private Label Brands was earlier considered as low cost alternatives to leading brands by researchers and
academicians but now the perception of PLBs has changed as a better quality product at reasonable prices very
soon they will compete with national brand and thereby profitability of retailer will increase. Since Brand
Image has emerged as a key factor, retailers should promote their private label products in their store. Brand
creation through Promotional deals and availability of wider product categories in PLBs can create a win-win
situation for both. Price consciousness is another crucial factor in PLB purchase decision so retailers should
price PLBs lower than national brand to increase the sales of PLB as consumer in India is very price sensitive.
Quality is another important factor for private label brand so if retailers wants to increase market share of PLB
they should provide good quality PLBs as consumers look for value for money, besides the general
understanding of PLB having an inferior quality. Store should position good image to consumers by
contributing to brand image creation and facilitating consumers towards a positive perception about the store
[24] and [25].
The present study is limited to only two segment of retail industry i.e. food & grocery and clothing &
apparel segment, therefore it becomes important to carry further research in different retail sectors. Thus it will
help to generalize the suggested factors across various sectors and among different formats. The study is of
increasingly important for the retailers who are willing to increase private label brands penetration in the retail
market. Nowadays in competitive scenario store brands are acting as a differentiator, giving companies a
competitive leverage, therefore retailers may develop a separate PLB Strategy.
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