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How online grocery shopping drives private label food purchases

Julie Verstraeten (UGent) , Eva Heeremans (UGent) , Maggie Geuens (UGent) and Iris Vermeir (UGent)
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Abstract
Private labels (PL) have become increasingly popular during the past decades, with market shares steadily growing worldwide. At the same time, consumers are increasingly switching from traditional brick-and-mortar grocery shopping to online grocery shopping. What does this shift to the online channel mean for PL and national brand (NB) sales? Using a database study and two laboratory experiments, we demonstrate that consumers buy relatively more PL food products online than offline. Moreover, we show that this "shopping channel" effect arises because consumers rely less on heuristics based on external product cues (price, brand name, and packaging) to infer product quality, which leads them to perceive a smaller quality gap between PL and NB when shopping for groceries online (vs. offline). These findings have implications for academics, retailers, manufacturers, and consumers.
Keywords
Marketing, Shopping channel, External product cues, Heuristics, Store brands, Grocery shopping, STORE-BRAND, PERCEIVED QUALITY, IN-STORE, PRICE SENSITIVITY, NATIONAL, BRANDS, EMPIRICAL-ANALYSIS, CONSUMER-BEHAVIOR, PRODUCT QUALITY, EXTRINSIC CUES, PERCEPTIONS

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Citation

Please use this url to cite or link to this publication:

MLA
Verstraeten, Julie, et al. “How Online Grocery Shopping Drives Private Label Food Purchases.” JOURNAL OF BUSINESS RESEARCH, vol. 167, 2023, doi:10.1016/j.jbusres.2023.114057.
APA
Verstraeten, J., Heeremans, E., Geuens, M., & Vermeir, I. (2023). How online grocery shopping drives private label food purchases. JOURNAL OF BUSINESS RESEARCH, 167. https://doi.org/10.1016/j.jbusres.2023.114057
Chicago author-date
Verstraeten, Julie, Eva Heeremans, Maggie Geuens, and Iris Vermeir. 2023. “How Online Grocery Shopping Drives Private Label Food Purchases.” JOURNAL OF BUSINESS RESEARCH 167. https://doi.org/10.1016/j.jbusres.2023.114057.
Chicago author-date (all authors)
Verstraeten, Julie, Eva Heeremans, Maggie Geuens, and Iris Vermeir. 2023. “How Online Grocery Shopping Drives Private Label Food Purchases.” JOURNAL OF BUSINESS RESEARCH 167. doi:10.1016/j.jbusres.2023.114057.
Vancouver
1.
Verstraeten J, Heeremans E, Geuens M, Vermeir I. How online grocery shopping drives private label food purchases. JOURNAL OF BUSINESS RESEARCH. 2023;167.
IEEE
[1]
J. Verstraeten, E. Heeremans, M. Geuens, and I. Vermeir, “How online grocery shopping drives private label food purchases,” JOURNAL OF BUSINESS RESEARCH, vol. 167, 2023.
@article{01H6XH3Z0SF1MN9BFEYV826TVN,
  abstract     = {{Private labels (PL) have become increasingly popular during the past decades, with market shares steadily growing worldwide. At the same time, consumers are increasingly switching from traditional brick-and-mortar grocery shopping to online grocery shopping. What does this shift to the online channel mean for PL and national brand (NB) sales? Using a database study and two laboratory experiments, we demonstrate that consumers buy relatively more PL food products online than offline. Moreover, we show that this "shopping channel" effect arises because consumers rely less on heuristics based on external product cues (price, brand name, and packaging) to infer product quality, which leads them to perceive a smaller quality gap between PL and NB when shopping for groceries online (vs. offline). These findings have implications for academics, retailers, manufacturers, and consumers.}},
  articleno    = {{114057}},
  author       = {{Verstraeten, Julie and Heeremans, Eva and Geuens, Maggie and Vermeir, Iris}},
  issn         = {{0148-2963}},
  journal      = {{JOURNAL OF BUSINESS RESEARCH}},
  keywords     = {{Marketing,Shopping channel,External product cues,Heuristics,Store brands,Grocery shopping,STORE-BRAND,PERCEIVED QUALITY,IN-STORE,PRICE SENSITIVITY,NATIONAL,BRANDS,EMPIRICAL-ANALYSIS,CONSUMER-BEHAVIOR,PRODUCT QUALITY,EXTRINSIC CUES,PERCEPTIONS}},
  language     = {{eng}},
  pages        = {{14}},
  title        = {{How online grocery shopping drives private label food purchases}},
  url          = {{http://doi.org/10.1016/j.jbusres.2023.114057}},
  volume       = {{167}},
  year         = {{2023}},
}

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