Loblaws to Launch Private Label Clothing Line
By George Anderson
The Canadian supermarket chain, Loblaws, is looking to head-off competition from Wal-Mart Supercenters by rolling out its own private label brand of clothing next month.
The line will be marketed under the Joe Fresh brand, reports The Globe and Mail, and it is not the first time the chain has gone outside of grocery in its attempts to maintain its market leadership in Canada. New home products were added to the store’s product selection in the past year but sales have been hampered by distribution problems.
Wal-Mart spokesman Andrew Pelletier told the paper that the company’s George line is doing well in Canada and the retailer plans to introduce new brands as it is doing in the U.S. “We’ll be raising the bar when it comes to apparel because that’s what the customer expects,” he said.
Moderator’s Comment: Is Loblaws on the right track expanding into private label clothing? What will it need to do if it is to be successful as it moves
beyond its core competency in grocery? –
George Anderson – Moderator