The German business newspaper Handelsblatt features an analysis by the management consultancy Porsche Consulting, for which 1,500 consumers were surveyed about their perceptions of traditional brands and private labels. The findings show that private labels have overtaken manufacturer brands in consumers’ perception of innovation.
Private labels are making their strongest gains in health, sustainability, and premium products. They are also continuing to build consumer trust. “Private labels now compete on equal footing with established brands,” says Timo Kirst, Senior Manager at Porsche Consulting.
For brand manufacturers, this creates a clear strategic imperative: innovation must be faster, more consistent, and more closely aligned with consumer needs. Success will depend not only on who has the best idea, but on who can bring it to market first.
Read the full article in Handelsblatt (German only).