Grocery Chain Replacing Name Brands With Their Brands

fmdog44

Well-known Member
Location
Houston, Texas
What was once a very good grocery chain here in Texas called HEB is slowly removing name brands and replacing them with their own brands. So the result is lesser choice. I wanted my brand of ice cream and only aw three different brands other than their HEB which i bought to see if it was good or bad and it was bad. I went to the soups and the number of Campbells soups is almost nil and replaced by their brand. I tried tow of their bands of soup about a year ago and threw them both out. Then I went to look for Kraft Dinner and gain their brand is everywhere and Kraft is on the bottom shelf in very few quantities. All box pasta dishes I ever tried that were store brands were very cheap pasta and tasteless sauces Thankfully I live near a couple Kroger. So no more HEB. Their approach is sacrifice choice in the name of increased profits. Sound familiar?
 

PopsnTuff

Well-known Member
Location
Virginia USA
I'm seeing more of that at Giant's too....Aldi's has one or two name brands that I like but the rest is their choice of other brands which are hit or miss for texture and taste.
 

Knight

Senior Member
So no more HEB. Their approach is sacrifice choice in the name of increased profits. Sound familiar?

Sounds like capitalism.
The United States is a capitalist society where means of production are based on private ownership and operation for profit.
 

Lewkat

Well-known Member
Location
New Jersey, USA
Many supermarkets have a contract with name brand companies to put their own label on that company's product. It exposes the public to a lesser well known name but quality item. My brother was in that business and explained it all to me years ago. Each party wins. The name brand company gets its product bought, the supermarket makes money and the consumer is happy.
 

Tommy

Senior Member
Location
New Hampshire
Knight is exactly right. The market, e.g., the customer, is in charge.

A business has to put together a total package that includes product quality, product selection, customer service, convenience, and price. They try to come up with the combination that maximizes their profits. Their competitors are doing the same.

If they get it right, great. If they get it wrong, customers go elsewhere and profits go down. If they do it wrong enough often enough, they go out of business. (Look at what's been happening with Sears and J.C. Penney for example.)

If enough customers are willing to sacrifice quality (or selection or service or convenience) for a lower price, that definitely figures into what the business does. In general, the public has opted to give up a lot for a lower price. This has been the trend since at least the mid-60s. Those who insist on better quality, etc. and are willing to pay what it costs buy from businesses who use that business model.
 

katlupe

Senior Member
Location
NY
Many supermarkets have a contract with name brand companies to put their own label on that company's product. It exposes the public to a lesser well known name but quality item. My brother was in that business and explained it all to me years ago. Each party wins. The name brand company gets its product bought, the supermarket makes money and the consumer is happy.
My husband drove an over the road truck and I traveled with him. We would go to a known manufacturer and pick up loads for grocery stores that had their name on the products. I am not sure how it works since some of the store brands just aren't as good as the known brand. For instance I prefer Hellman's Mayonnaise and I have tried countless store brands and don't think they taste as good. Maybe it is in my head though because I know it is not the brand I like.
 

Sunny

SF VIP
Location
Maryland
One thing that annoys me is that very often, the store's brand copies the packaging and labels of the well-known traditional brand. It may or may not be as good, but you may think you're buying a traditional brand when you aren't.

Many items have packaging, colors, label design, etc. that are very familiar to us. Think Coca-Cola, Ritz crackers, Campbell's soup, Eggo waffles, Tide detergent, etc. The cheaper store brands often look exactly like the originals, unless you take the time to read the name of the product.
 

fmdog44

Well-known Member
Location
Houston, Texas
Store brands are the products of one manufacturer that sells their products to any number of buyers. The stores put their own labels on them. This holds true even with meat as we witness recalls with the many different names attached to the same meat. As far as taste and quality goes the buyers purchase lower grade items like vegetables simply because they are less expensive. It is sad that HEB sees a chance for higher profits by reducing choice. I have to wonder since they brag about keeping produce here locally in Texas where are their other items from as we see only the names of distribution centers on their labels. Distribution centers are warehouses.
 

fmdog44

Well-known Member
Location
Houston, Texas
Interesting that Karl Marx thoughts on capitalism aren't working to well in Venezuela.
https://markets.businessinsider.com/news/stocks/venezuela-economy-facts-2019-5-1028225117#

I'll take capitalism every time.

So no more HEB that's the beauty of how capitalism works, don't like something don't buy it. Another product you do like and will buy is one of the luxuries we enjoy.
You leave out a fundamental principal of capitalism and that is maximum profit for minimum investment.
 

Don M.

Well-known Member
Location
central Missouri
Years ago, when I was working, I made numerous trips to the Walmart headquarters in Bentonville, AK., to assist in the maintenance of their massive computers. The front aisle of their main building was lined with small offices where "Name Brand" salesmen would line up every morning to sell their products to Walmart. The halls were lined with plaques noting record numbers of sales of the various brands to Walmart....truck and train car loads.

Quite often, many of these brands are bought/sold under the "Great Value" brand name at the Walmart stores. The Only difference is the name on the container....if you look closely at the contents on the label...the ingredients are the same. The main difference is that while the Brand Name item sells for $5, the GV package sells for $3.50. We started buying the GV brands, years ago, and have Not been disappointed. Plus, there is a nice Walmart SuperCenter just a few miles from us, so between the product price savings, and not having to run to the larger towns, 35+ miles away, saves us some money.
 

gennie

Senior Member
Location
USA
That happens when the stockholder's profit becomes more important than the quality of their product. By the time the public realizes this and begin to shop elsewhere, the CEOs who have made the changes have taken their money and run.
 

Aunt Marg

Granny Pantie Power!
What was once a very good grocery chain here in Texas called HEB is slowly removing name brands and replacing them with their own brands. So the result is lesser choice. I wanted my brand of ice cream and only aw three different brands other than their HEB which i bought to see if it was good or bad and it was bad. I went to the soups and the number of Campbells soups is almost nil and replaced by their brand. I tried tow of their bands of soup about a year ago and threw them both out. Then I went to look for Kraft Dinner and gain their brand is everywhere and Kraft is on the bottom shelf in very few quantities. All box pasta dishes I ever tried that were store brands were very cheap pasta and tasteless sauces Thankfully I live near a couple Kroger. So no more HEB. Their approach is sacrifice choice in the name of increased profits. Sound familiar?
All too familiar!

And may I say, stores have lost my business account of!

I refuse to spend my hard-earned money on high-priced product that doesn't meet my needs or expectations.
 

J-Kat

New Member
Sam's Club (Walmart) started changing out name brands for their own "Member's Mark" brand several years ago. When I shopped there regularly I always bought Panera Bread frozen soup but they replaced it with Member's Mark soup. I liked and bought Land O'Lakes Half and Half. They replaced it with Member's Mark. Both the replacement products were watered down and tasteless. That's just a couple of examples. I don't go to Sam's much anymore.
 

Manatee

Well-known Member
Location
Florida
We rotate Publix, Winn-Dixi and Walmart grocery. No one store has everything we want. Since the chinese virus moved in many items have disappeared and are not available anywhere. ALDI near us was closed for renovation. It was a smaller store. Safeway in Florida sold out to Publix.
Many "store-brand" items are made by name brand manufacturers.
 

fmdog44

Well-known Member
Location
Houston, Texas
That happens when the stockholder's profit becomes more important than the quality of their product. By the time the public realizes this and begin to shop elsewhere, the CEOs who have made the changes have taken their money and run.
Stock holders and lobbyists rule America. There was a time long before mutual funds exploded when stock holders much less influence.
 

fmdog44

Well-known Member
Location
Houston, Texas
We rotate Publix, Winn-Dixi and Walmart grocery. No one store has everything we want. Since the chinese virus moved in many items have disappeared and are not available anywhere. ALDI near us was closed for renovation. It was a smaller store. Safeway in Florida sold out to Publix.
Many "store-brand" items are made by name brand manufacturers.
You mean Safeway left Florida?
 

fmdog44

Well-known Member
Location
Houston, Texas
There are dozens of small companies dedicated solely to developing store brands and they work directly with the retailer to develop the item, label and price points. Even when an item is made by a large well-known brand, it's not exactly the same. If a big brand like Heinz or Hunts decided to sell private label, it will make soup or pasta sauce, not ketchup. Companies want to expand their business, not destroy the existing one.
 

OneEyedDiva

Well-known Member
Location
New Jersey
@PopsnTuff: I never have cared for Aldi's but one of my honorary daughters loves to shop there.

FMdog: Shoprite is a big supermarket chain in N.J. and surrounding states. I notice they've replaced their brand with Bowl and Basket. Not sure if it's still their brand just renamed but of course, it's not the same issue as your complaint. It seems crazy for a supermarket to limit the choices customers have. I wonder if they'll see a drop in sales because of it.
 

Manatee

Well-known Member
Location
Florida
We always shopped at Safeway in Arizona, but they only had a very small presence in Florida and for a short time.
 


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