The Rise in Private Brands: A Supply Chain Perspective

American consumers came to know the idea of private brands in the early 1970s, but in the past half-century, they have significantly increased in prevalence on retail shelves. This paper examines how retailer supply chain organization affects the perceived quality and success of their private brands. Case studies discussing the private brand supply chains of Walmart and Costco, two of the largest retailers in the United States, were analyzed. These companies are compared and contrasted through a review of existing literature on their private brand supply chain. With downturns in the economy, consumers are gaining interest in private brands, creating a need for an understanding of best practices in private brand supply chain selection, quality, and branding.