Retailers looking to attract and retain price-conscious shoppers during the current bout of inflation may want to consider stocking more small- and medium-sized brands. Competing on price presents several challenges to margins, but offering smaller and newer products can help retailers build an assortment on attributes such as sustainability and quality. Data from NielsenIQ’s Brand Balancing Act study found that 47% of shoppers believe that small brands are usually more expensive (but they are prepared to pay a bit more), and 48% plan to buy more from smaller brands in the future because they’re better suited to the shopper’s needs.
