The shift towards retailer own brand goods has stood out as a major trend in the Spanish cosmetics sector, indeed in many consumer goods markets, since the economic crisis of 2008. A number of categories, including deodorants, noted a movement towards marcas del distribuidor or marcas blancas, seemingly as consumers looked for lower priced products.
It is, however, a longer standing pattern. As highlighted by a report from Nielsen published in March, sales of own brand products have increased every year for some 20 years up to 2014. So the fact that own brand sales failed to increase market share for the first time in two decades perhaps raises the question of whether these goods have reached a natural ceiling. Time will tell whether the stagnation in own brand is not merely a reflection of an improving economy. As Nielsen points out, the smart shopper trend remains and price is still a major factor in purchasing decisions, as are promotions. Indeed, strong brand owner activity last year is one of the main reasons that further own brand growth was held back.
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- Companies:
- L'Oreal
- Colgate Palmolive
- Rituals Cosmetics
- Yves Rocher
- Unilever
- The Nielsen Company
- NUXE
- Instituto Espanol
- IRI Group
- Disna
