Independent thesis Advanced level (degree of Master (One Year)), 10 credits / 15 HE credits
Impact of private labels' in-store placement on consumers' quality perception and purchase intention – An empirical study investigating Apoteket AB
Master Thesis in Business Administration, 15 ECTS
School of Business, Society and Engineering – Mälardalen University
Sofia Helleday Claudia Kögler 26th May 1993 12th September 1991
Private labels, in-store placement, quality perception, purchase intention
How do specific in-store placements of a private label product affect consumers' quality perception?
How do specific in-store placements of a private label product affect consumers' purchase intention?
The purpose of this study is to investigate a potential impact of private labels' in-store placement on consumers' quality perception and purchase intention with a view to the Swedish pharmacy market – namely, Apoteket AB, which is regarded as the research's case example.
Systematic observations were carried out in two Apoteket AB stores first, which facilitated the structure of the customer survey. In total, 89 completed questionnaires were received to answer the research questions and test the corresponding hypotheses.
Conducted observations demonstrate a certain particularity of Apoteket AB's store brands' placement. Results of the survey show that consumers perceive the quality of Apoteket AB's private label product higher if the product is placed in an off-shelf display or at eye-level, and lower if it is placed at bottom-level. Furthermore, it is indicated that an off-shelf display receives higher rankings on quality perception than an eye-level placement. In terms of purchase intention, an off-shelf display indicates a positive and a bottom-level placement a negative impact. Finally, it is evident that respondents are more likely to buy a product with a higher perceived quality. Outcomes could provide Apoteket AB with important information how to boost profits with their store brand portfolio. In order to improve the trust of its private label range and continuously enhance consumers' respective quality perception and purchase intention, Apoteket AB should increasingly place their store brands in prime locations such as off-shelf displays and at eye-level.
2016. , 38 p.