Tuesday, June 15, 2010

PLMA Amsterdam 2010

Brian Sharoff, president of the PLMA since 1981, has witnessed the irrestistible rise of private label. He spoke to ESM about his hopes for 2010.

ESM: How has the rising importance of private label affected the show?
Brian Sharoff: PLMA’s annual trade show in Amsterdam has definitely enjoyed a considerable amount of growth as more manufacturers add private label to their core business.

ESM: How excited are you about this year’s show?
BS: I think this year’s show will be very exciting. We have exhibitors from more than 60 countries and buyers from more than 90 countries, so the international flavour of the show is truly underscored.

ESM: PLMA is now recognised as a very important show. How has it grown over the years?
BS: PLMA’s World of Private Label has generally reflected the growth of the private label industry. We started with 50 exhibitors in Paris in 1985 and now present nearly 2,000 exhibitors. The growth of the show mirrors the greater and greater importance of private label in the retail marketplace.

ESM: You were an early promoter of the PL concept. What five things have been most crucial in its development across Europe?
BS: The most crucial factors in the success of private label have been retailer commitment to quality, assortment, product innovation, attractive packaging and consumer responsiveness.

ESM: What current trends do you see in the PL business at present in terms of geography and quality?
BS: In terms of geography, we are seeing improved private label quality drive private label sales in Central and Eastern Europe. This can be a large market for private label. Volume market share is already above 30 per cent and it can reach 40 per cent in a few years.

Q: Do you believe European PL is more developed than America?
BS: I don’t think you can compare private label by country or continent. I would say that you need to judge private label by retailers and on that basis the major retailers of Europe and America are on the same path.

Q: What other interesting recent trends have you observed across the world?
BS: The most interesting trend would be the rapid development of private label in parts of Asia. The potential for vast growth in Asia is quite real.

Q: Is there a possibility that PL will become more important than the brands?
BS: I think that private label and brands serve complimentary functions. They are all part of a system offering consumers the greatest choice in products and prices. I don’t think one can ever be more important than the other.

Q: What new trends do you see in PL packaging?
BS: The most obvious trend is the excellence of the design and graphics that retailers are using to package their own label products. Private label today is just as visually exciting as any A-brand.

Q: What top tips would you give to a new standholder at the show?
BS: My advice to new standholders is to plan for the long-haul. Private label is not a one-show-one-year business. Retailers are looking for new suppliers and new products, but they are also looking for companies who can demonstrate experience and knowledge. Therefore, my best tip is that when the 2010 PLMA show is over, renew immediately and promote your company to the retailers who attended the show.

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