Do Private Labels Generate Loyalty? Empirical Evidence for German Frozen Pizza
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The increase in private labels within the food retailing industry and retailers' high expenditures for establishing them raise a central question: Do consumers really consider private labels "real" brands and do they develop loyalty towards them? We analyse a four-year household panel data set of frozen pizza purchases of 14,000 households in Germany to study differences in consumers' repurchasing behaviour between national brands and private labels. We consider dynamic aspects of repurchase behaviour as well as household characteristics applying a hazard approach. Our results show differences between national brands and private labels.