It’s been happening across the world for decades now and in Australia, supermarkets are doing it to almost every product category – intensifying the market position of their private label offerings.
In some respects, there has been a degree of backlash in the food industry and vocal consumer groups have been opposed to the growing practice of private label products, yet retailers continue to increase the visibility and penetration of their private label portfolios, or they establish phantom brands to counter the negativity of their own private label offerings.
These days, private label has become a dominant force in supermarket retail strategy – played with the forceful message of creating better value and saving more money for shoppers.The tagline it seems is always about lower prices.
The big players in retail are managing well known brands with practices such as restricting the shelf space allocation or shifting the popular household brands to different positions such as lower in the shelf that enable their own private label products to take prime position in the customer’s shopping visibility.
It’s not a new concept and is essentially similar to Contract Coffee Roasting, except that for the private label coffee roasting process we are using a product specification that has already been developed and owned by us, it’s just the packaging that is different – a company is buying our finished goods in their required packaging for retail.
In effect, the retail organization is leveraging our coffee roasting expertise as well as our production services such as packaging and logistics and of course our capital investment and cash flow on payment terms.
As an example, we have a couple of very popular blends that we roast on a daily basis and these blends have been extensively evolved and refined based upon the best current bean availability at the time – we know these coffees well and we are constantly investing time and effort to optimize these coffee blends.
A private label coffee bean arrangement is simply allowing you to access our developed intellectual property by selecting and using our fresh roasted coffee packaged in your choice of materials or format.
This solution works well for a number of our customers, however, minimum quantities do apply.
Roasted coffees produced by us are sold around Australia in retail stores, online and overseas to New Zealand.
Please kindly note we only engage with customers on Private Label solutions where there is an existing, proven retail operation in place – it is not suitable for most types of start up services due to the competitive nature of the Australian coffee market, but do please feel free to check with us by calling as we are happy to discuss opportunities and qualify how the best solution might apply.