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Let me stop this crazy conspiracy theory right here. I worked for Nestle, Campbells Soup, and I know the CPG business. No brand (Crest or whatever) would dilute or weaken their product for Wal-Mart. Their only fight against wal-mart driving their prices down is a customer willing to switch stores to get Goldfish or whatever.
The sizes of the packages may vary from store to store. Sams Club and Costco often push for a bulk size/discount and a specific ounce product that is only sold in their store. You could have unique/special flavors for a store too. . .
The makup of the private label products may change from store. Yet a box of flavor blasted cheddar goldfish or a tube of crest is 100% exactly the same
The above is an urban legend that proves how strong perception is on influencing taste and perception. When you put too boxes of cornflakes together and label one kellogs, customers will think it tastes better (even if its the same). What you are "tasting" or "seeing" is only your perception created by a dislike of Wal-Mart
I can tell you, as a person who worked many years in CPG, that your perception is wrong.
It's not perception, it's fact. Things may have changed since you worked there.
Not too long ago you could go to a designer outlet store and get actual designer clothing but now inferior clothing is made for the outlets.
Consumers are being programed to expect and accept less. We are being told we are saving money so we buy crap, it breaks or doesn't work up to standards then we buy more. It ends up costing us the same or more.
Don't spread this around.....it might give WalMart haters a small case of apoplexy.
Wal-Mart is "getting aggressive on pricing" but is willing to eat costs when it wants to, said Clorox Chairman and Chief Executive Don Knauss , pointing to the company's best-selling bleach. Last August, Clorox raised the price of Clorox bleach by 12 percent in the United States, but Walmart kept the price tag steady. Analysis: Wal-Mart's price push tests manufacturers' prowess | Reuters
The same article discusses other things manufacturers are doing to lower costs that WM haters would suppose is just WM ripping them off.
WalMart does all that??
If a store can be held responsible for brainwashing somebody better check for subliminal messages mixed in with the loudspeaker announcements.
As far as WM being 'king'.... I can go in there right now and within 2 minutes find (pick a number)...50 items that are $1 at the Dollar store that are close to/or twice as much at WM.
Too true.
The reality is that they are losing, if not lost already, their competitive edge.
My local supermarkets make it well worth my while to shop their stores rather than at WalMart due to better sales, double, sometime triple coupons, gas rewards and the like.
WalMart has gotten complacent, much like AT&T did. They thought they had a built-in base, and it is pretty clear that they don't.
Isn't the fact their customers are broke the reason they shop at Wal-Mart in the first place?
No, I don't think that it is.
While I much prefer to buy meat and produce at my local supermarkets and take advantage of every local sale, I still find that WalMart is the absolute best venue for buying things like shampoo and other personal products as well as bulk sizes of coffee, cereal, etc.
And, no, I have found absolutely no difference in quality between the brand name items I buy at WalMart and those sold elsewhere.
We had one Walmart that had about 3 or 4 self-checkout lanes but then changed them back. Personally, I don't mind self-checkouts depending on what I've got to buy at the time. I've been through a few cashier type checkouts - not always at Walmart, where the person ringing up your item has to make comments on what you're purchasing. It's one thing when they say something like, "oh, I didn't know we had this item" and another when they question your motives for purchasing said item. Sheesh.
It was a "personal" paper product. The company had already started cheaping out anyway but the volume package that was only available at Walmart and I'm sure at warehouse stores as well was even thinner than the product from the grocery store.
I've noticed with paper towels the rolls are different sizes in some of the big packages and you have to do math figuring out total square footage to determine if the larger volume packages are even worth it. WHO does this? People just expect the better deal at Wailmart, BJs, Costco and it isn't always the best deal.
These companies run as lean as possible and have all kinds of strategies to maximize profits, knowing most customers will not do research.
It's not perception, it's fact. Things may have changed since you worked there.
Just because your perception is true to you, doesn't mean its fact. Your "fact" is just evidence on why Brands matter, and why Brand Managers are important.
It is your "fact" that keeps people coming back, even though the product is the same.
Its your fact that moves people to target, and pays more, even though the products are the same
Your facts earn people like me a lot of money
Here is the process
1) Wal-Mart buyer wants same product at lower price, to pull in consumers
2) The Wal-mart Buyer and Brand Manager would have to agree to take a same product and dilute it. . .or change it
3) not impossible, but not something that P&G or any of the large CPG would do. (Kimberly CLark and P&G I don't see them doing it)
Putting in variations (like flavors) that cater to a demographic may be within the possibility. But the idea that they would go through the operational hurdles to put two different things in the same packages (and keep those packages separate so you never identically send target the Wal-Mart blend) is operational stupid, brand stupid, etc
Super Blend for Wal-Mart that may be crap, possible
SAME product (i.e. same UPC and brand color/name) is the same at both stores.
Super Blend for Wal-Mart that may be crap, possible
SAME product (i.e. same UPC and brand color/name) is the same at both stores.
The large volume packages have their own code. The packaging and label looks the same, maybe there is a small difference somewhere. It is intended to look like the product sold elsewhere. This does not have to be the same exact product that is in the grocery store in smaller packages.
If someone compared the two products in a lab and the results came back showing a difference, would you then believe it?
Would you believe it if they physically looked different to the naked eye?
It was a "personal" paper product. The company had already started cheaping out anyway but the volume package that was only available at Walmart and I'm sure at warehouse stores as well was even thinner than the product from the grocery store.
I've noticed with paper towels the rolls are different sizes in some of the big packages and you have to do math figuring out total square footage to determine if the larger volume packages are even worth it. WHO does this? People just expect the better deal at Wailmart, BJs, Costco and it isn't always the best deal.
These companies run as lean as possible and have all kinds of strategies to maximize profits, knowing most customers will not do research.
So, already you are not comparing apples to apples....OK, so you are but you're comapring Mac to Granny Smith's.
I don't do math in the store (or ever expect a better deal on every item)...I look at the unit price on the shelf tag. That's what it's on there for.
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Sheesh.
