Sunday, April 28, 2019

Independent brands and bookstores

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Private label sales dominate national brands (Link)
In 2018, the mass retail channel topped supermarkets for the first time in annual private label dollar sales volume in food and nonfood consumables. Data revealed that private label dollar volume in the mass retail channel surged 41% over the last five years, compared to a gain of only 7.4% for national brands.
Costco’s, Kirkland Signature brand pulled in $39 billion in 2018 which dwarfed those of Kraft-Heinz, which generated $26 billion last year.

Why independent bookstores are thriving in spite of Amazon (Link)
Before Amazon even existed, many mom-and-pop independent bookstores were supposed to disappear by the entrance of Barnes & Noble. But today, it’s Barnes & Noble that is trying to survive the Amazon retail apocalypse, while independent bookstores are doing just fine. The number of independent bookstores in the US is up 31% since 2009 and book sales at independent bookstores grew 7.5% annually over the past five years.

Books still make up about 80% of sales for independent bookstores sales so why are they doing so well? Many of these independents attract a loyal base of customers who seek a social hub outside of the online world. They offer anything from ukulele lessons to speed-dating events. These customers come to hang out but also buy books too.