Store Brands

FEB 2017

Store Brands delivers unprecedented strategic and tactical information needed by retail executives to develop and support compelling, differentiated store brand programs to build customer loyalty.

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Health & Wellness 3 4 Store Brands / February 2017 / behaviors are and tailor your brands, your product lines and your marketing to reflect that." Getting started Deciding how to respond to the call for clean and clear labels requires a dedicated, robust corporate effort, according to Spieckerman. But it's important for U.S. retailers not to wait too long before making their initial foray, she maintains. "The granular free-from movement has more traction in European countries, which tend to be earlier adopters," Spieckerman explains. With Lidl about to open stores in the United States, American retailers need to be ready because the German chain is already well-versed in how to address consumers' concerns about chemicals in food, she says. "Competition is going to drive the pressure for adoption because if other retailers are doing it and you're not, you'll look like you're behind; you'll look like you're in the Dark Ages," Spieckerman adds. Off to a good start, certain U.S. retailers are already doing an impressive job in the clean label realm, Jorgensen observes. San Antonio, Texas-based H-E-B, for one, is taking a bold approach with its new clean label H-E-B Select Ingredients brand, which proactively excludes some 200 ingredients, described on the retailer's website. "It's a forward- looking and really on-trend list that shows a very clear understanding of the ingredients that consumers object to and why they object to them," he says. It's not necessary, though, for every chain to launch such a comprehensive free-from private label line. Jorgensen suggests that retailers prioritize those ingredi- ents and additives that consumers most want to avoid. "If you look at the hierarchy of ingredients that consumers object to the most, the top three are artificial colors, flavors and preservatives," he says. In addition, many consumers today want to avoid trans fat and high-fructose corn syrup. Jorgensen points out that Batavia, Ill.-based Aldi U.S. has made strides in the direction of clean label with its own brands (see sidebar on page 30) without creating a completely clean product line. "Aldi eliminated just a few things from its private brands — artificial colors and flavors and trans fats — and made a big deal about it," he continues. "So even though Aldi didn't make its products totally clean, the chain made good steps in that direction and it has been rewarded for it." Whether to reformulate existing store brands or

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