Research: Store Brands Packaging Design Sophistication Evolves

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October 2, 2011

Brand consolidation, sustainability and nutrition labeling are the top three issues affecting store brands packaging design development and execution, and the slow economic recovery continues to influence retailer budgets, according to the second annual Store Brands Decisions Packaging Design Benchmarking Study.

For the first time, this year’s study presents comparative data to prior year and breaks out important packaging design and execution differences between larger and smaller chains, and between packaging management software users and non-users, an area that reveals the most striking performance gaps.

Also new to this year’s report is more in-depth information about packaging design budgets and funding models, the number and type of design agencies retailers use, and packaging design issues of the most concern and focus.

What challenges retailers most in managing store brands packaging design is “creating unique and differentiated design,” according to this year’s report titled, “The Future of Store Brand Packaging Design 2011.” But overall, the industry is more settled this year in its redesign processes. In 2010, 44 percent of the respondents said their companies were planning a change or considering a change in their redesign process, while that number dropped to only 20 percent in this year.

Fully 96 percent of the respondents reported that their chains have an established design decision-making process in place, with nearly half indicating they developed their packaging design strategy in house. More than half of respondents reported that complete redesigns of their companies’ store brands packaging takes place every four to five years, and that external firms are involved in those redesign a majority of the time.

The 62-page report includes more than 40 charts and graphs and is designed to a make it easy to extract the most important information, featuring bulleted Insights at the end of each section, and top-line conclusions at the end of the report. Learn how retailers plan to change the way they develop packaging design strategy; who is responsible for managing refreshes and complete redesigns; what are their plans to adopt technology to support the packaging design process; who pays for packaging design, and more.

This year’s study gathered data from 26 companies operating 43,000-plus stores that generate well over $750 billion in annual retail sales. Survey respondents represent supermarkets, mass merchandisers, club stores, dollar stores, convenience stores and a variety of specialty retailers including Walmart, Kroger, Dollar General, Supervalu, Loblaw, Family Dollar, Winn-Dixie, BJ's, Meijer, and many more.

Integrated marketing communications firm GROUP360 Worldwide is corporate sponsor of the study, which was released last week. The report is available for download by clicking here.

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