Factors affecting consumers’ willingness to buy private label brands (PLBs): Applied study on hypermarkets

• Published in: Spanish journal of marketing-ESIC 2018-12, Vol.22 (3), p.338-358
• Main Authors: Mostafa, Rasha H.A., Elseidi, Reham I.
• Format: Article
• Language: English
• Subjects: Brand names; Consumers; House brands; Hypotheses; Perceptions; PLB familiarity; Price consciousness; Private label; Quality; Risk; Store image; Supermarkets
• ISSN: 2444-9709; 2444-9695; 2444-9709
• DOI: 10.1108/SJME-07-2018-0034

PurposeThe aim of this research is to investigate the factors affecting consumers’ willingness to buy private label brands (PLBs). The relationships among store image, familiarity with PLBs, consumers’ perceptions of PLB quality, risk, price consciousness and attitude towards PLBs are examined. Finally, the relationship between attitude towards, and willingness to buy PLB is explored.Design/methodology/approachSelf-administered questionnaire was distributed to shoppers at Carrefour operating in Cairo, Egypt. The data obtained from 265 respondents were examined using structural equation modelling (analysis of moment structures) version 22, which empirically test the hypothesised relations established in the research conceptual model.FindingsWith the exception of perceived risk, the results suggest that all consumers’ perceptual and attitudinal factors affect directly or indirectly consumers’ willingness to buy PLB.Research limitations/implicationsThis study is limited to international hypermarket/supermarket operating in Egypt. So the findings should be exercised with cautious while attempting to generalise the research results.Practical implicationsRetail managers should focus on the enhancement of both store image and familiarity with PLBs to leverage consumers’ perceptions with respect to PLBs quality and risk to achieve differentiation and to increase sales.Originality/valueThis is one of the few studies that investigate the role of familiarity with PLBs in a developing context. In doing so, it proposes that familiarity with PLBs directly affects consumers’ perceived quality and perceived risk, while it indirectly influences consumers’ willingness to buy PLBs.