After changing label by price, customer back to leading brands

Although the crisis has led consumers to put aside the market leading brands, 66.2% of consumers are returning to consume premium labels. The main reason is the comparison in terms of quality in relation to the items that had been exchanged. The trend was shown in a survey conducted by the Union of the retail trade of Foodstuff in the State of São Paulo (Sincovaga), which pointed out that 69.6% of consumers interviewed tried other brands of products in supermarket, except the leaders, in the last six months. The categories in which there were more brands replaced were hygiene and cleaning (87.7%) and groceries (65.8%), followed by dairy (58.9%). The price was the biggest motivation for this change of habit, in the opinion of 84.5% of consumers. This trend was already perceived in the poll conducted by Sincovaga in February 2016, when 35.8% of consumers surveyed said that they don't care about brands, but with lower prices, while 27.5% reported that they had preferred brands , but had already opened their hand because of the prices. According to the President of the Sincovaga, Álvaro Furtado, the loyalty for low price is connected only with the amount of money and the possibility of consumer purchase. "The price is not so decisive when the person comes back to money. The quality always comes in front when you have money to pay for it, "said he to the DCI. However, if the price was the biggest motivation for the exchange of brands a little over a year ago, now is the quality of that audience back to premium brands on the market. For 78.7% of the people heard, demonstrably better quality of these items was the advantage more considered, followed by price more attractive (8.5%) – that can show a greater partnership between retail and industry, and the cost-benefit analysis (6.4%). Knowing this, the Group's own brand Qualitá GPA, announced – as in advance by report on day 18 – the repositioning and opening of new lines, in order to improve the quality and customer loyalty. According to the Director of Group's unique brands, Wilhelm Kauth, the Brazilian labels own bet, erroneously, only in the price: "the cost is the worst motivator of purchase that you may have with the consumer, because that's not the loyalty." Frequency and promotions when you map the consumer behavior in the shops, the Sincovaga points out that much of the public research prices before shopping (66.7%), and use brochures (63.2%), internet (39.7%) and TV ads (11.8%). The survey consulted consumers in relation to the number of times you carry out your purchases. Most (38.2%) said go to the supermarket once a week, followed by twice a week and once a month, both options with 24.5%, 12.7% which go more than twice a week. In this sense, acquire only what you need for the week was the option of 35.3% of respondents, followed by the habit to take advantage of promotions and plan purchases for the month, both answers with 26.5%, while 11.8% acquire only what you need for one or two days. About the future of the economy, 29.4% of people think will improve; 35.3% worse and 35.3% stay as it is. For Furtado, the worst of the crisis has passed and the study shows that: "at the supermarket people are coming back to spend a little more." The survey was conducted in all regions of São Paulo, 4 to 6 October. The largest portion of respondents have family income of 1 to 3 minimum wages (33.3%), followed by the range of 3 to 5 minimum wages (26.5%), and 5 to 10 minimum wages (17.6%).