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Large retailers do this with store brands (Walmart), but it's generally more opaque to the consumer. It's really quite clever, you sell third-party products, b
by saudioger 8y ago
Large retailers do this with store brands (Walmart), but it's generally more opaque to the consumer.
It's really quite clever, you sell third-party products, but also control all transaction data — so you see which products are successful, somewhat well reviewed, and profitable... then you just steal the business.
It's kind of how Apple/Google adopt features. Watch which utility apps are popular, then just build the features into the OS.
If you're relying on a third-party to sell your product in a marketplace, you can't get too comfortable.
- teh_klev 8y ago> but it's generally more opaque to the consumer. Are you sure you mean "opaque" but actually meant "transparent"? Over here in the UK we have ASDA which is owned by Walmart. They have their own store brands such as "George" for clothing and home/domestic goods such as electricals. It's pretty clear, or transparent, that stuff labelled George is ASDA's own-brand goods and no secret is made of this by ASDA. As another example, Tesco have their own clothing brand, "F&F" and like ASDA they don't hide the fact that it's their own in-house brand.
- jumelles 8y agoIt's the same here in the US, too. They don't hide the fact, but it's certainly not as transparent as just labeling everything with their own name. There's still a bit of a stigma attached to knockoff brands and the stores don't want to make it too obvious.
- saudioger 8y agoI mean opaque when it comes to 'this is a successful third-party product we sell, let's hijack the business' rather than the clarity of what a store brand is in general. Stores do distance themselves a bit further though — Walmart has "Best Value" brand or whatever, which isn't as explicitly a Walmart brand.