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Beating Walmart to the private party


Walmart failed to beat Target in its efforts to boost its private label line. Walmart expanded its Great Value brand in the United States, a few weeks after Target launched a major promotion of its Archer Farms line.

Walmart last week announced that it has introduced more than 80 new products, such as thin-crust pizza, fat-free caramel swirl ice cream and strawberry yogurt, which it claims were tested against national brands to ensure their quality was equal or better. In addition to product testing, Walmart redesigned Great Value packaging graphics to create a consistent, recognizable look throughout the store, making it easier for customers to find their favorite products.

Earlier this month, Target’s Archer Farm premium brand was featured on the cover of the weekly circular with a 15% discount on all food and drink items. The promotion was also called out in stores, where products are featured on endcaps and called out with signage. Even with a 15% haircut, Archer Farm’s prices afford Target healthy margins and enable the company to offer customers a premium product at a compelling value.

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