Drivers of Consumer Preference for Private Label Brands over National Brands: Evidence from a Systematic Literature Review

Abstract

The study is aimed at identifying different factors which influence the consumer’s perception towards private label brands while making a purchase decision. The study attempts to differentiate the perception of consumers towards national brands and private label brands. A systematic review methodology has been adopted by the study to conduct the literature review. Different inclusion and exclusion criteria were employed to shortlist the research article based on overall relevance and aim of the study.  The study has found that private labels are preferred over national brands. Consumers consider certain factors, which the study has identified, while evaluating the literature related to national brands and private label brands such as price sensitivity, consumer income, family size, education, store image, product quality, visibility, promotions, price substitution etc. the study contributes to the literature by understand the rationale behind various forces which contribute in manipulating mind-set of consumers to prefer private label brands over national brands. The study will assist future researchers in undertaking an empirical study regarding the relative preferences of private label brands over national brands.