- On Sunday, Target Corp. will roll out its new organic and natural food brand Simply Balanced.
- The launch is part of a greater organic food push, with Target expected to announce next week that it will increase its organic selection by 25% by 2017.
- Target's senior director of store brands Amanda Irish says the launch aims to take advantage of rising consumer interest in organic foods; she said organics make up less than 10% of overall grocery sales, but sales are increasing at double the rate of other, more conventional groceries.
From the article:
The rollout also reflects a broader push by supermarkets and big-box retailers to improve the image of their store brands. Store brands usually carry fatter profit margins for retailers than name brands and help lure shoppers with exclusive offerings to fend off competition.
Supermarkets aren't just focusing on cheaper prices when it comes to store brands, either. Many now have tiered store brands, with a line intended as a cheaper alternative, as well as more premium lines that compete with or seek to be better than those made by companies such as Kraft Foods and General Mills.