Customer Preferences with reference to Private labels of Big Bazaar

Vijay Kumar Reddy Prodhuturi, Dr Jayashankar Prasad Cherukuri, Mr Sambhasivudu Valivella


Many of the retailers try to make better profits private labels as a strategy. For that they have to maintain the performance of private labels to gain their expected profit margins. Maintenance of only private brands in the store may not bring good results and maintenance of national labels alone may not result in achievement of required profit margins. In saturated markets, given the intensity of competition, customer bonding has become more important for the simple reason that such relationships generate greater profits for a firm (Juhl, Kristensen, & Ostergaard, 2002; Reichheld & Sasser, 1990). So they were maintaining a tradeoff between labels. And the tradeoff should be in a way such that profit has to be achieved and product availability has to be in a satisfactory level, and all this is to happen while strong bonding is created between the customer and the private labels. This study is taken to find out the performance of private labels over national labels in the Big Bazaar store. The data collected related to this study is analyzed and used for testing the hypothesis using Signed rank test statistical tool.


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