Shoppers are oftentimes choosing to buy local or start-up brands as opposed to household or national names. Amazon, for example, was able to get ahead at identifying well-performing smaller brands through the Whole Foods acquisition. Some grocers are taking notice.
This is part of the reason why Albertsons decided to launch a digital marketplace for smaller brands.
“The effort comes as retailers more and more are looking to data to help guide their buying decisions,” as reported by “CNBC.”
By having a centralized point where products are easy to find, track and hard data can be collected to determine which brands are performing best it will not only benefit consumers but grocers and smaller brands alike.
“Armed with data from the marketplace, brands can make their case for shelf space in Albertsons' stores, according to “CNBC.” “On the flip side, the data Albertsons has access to through its efforts will help it better understand its customers.”
Vendors who can handle their own shipments will be the first ones able to participate in the marketplace. There’s a possibility that in the future Albertsons may jump in and aid vendors with shipment responsibilities.
This initiative comes after the grocer launched Albertsons Performance Media, “a digital media capability that provides brands the opportunity to use proprietary shopper data to drive sales across Albertsons Companies’ network of more than 2,300 stores in 35 states,” as described in a company press release.
Will Albertson be able to compete with Amazon through their efforts? Looks like they are on the right path to be a strong contender.
To learn more, read “CNBC.”