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Extent and Significance of Private-Label Brands of Ice Cream and Milk

Department of Agricultural Economics, University of Illinois, Urbana

David A. Vose

Department of Agricultural Economics, University of Wisconsin, Madison

ABSTRACT

Food distributors have marketed private-label brands of some dairy products such as evaporated milk and butter for many years. More recently, following the postwar increase in sales of fluid milk and iee cream through food stores, private-label brands of milk and ice cream also have become important.

Private-label brands are brands that belong to food distributors rather than to food processors. They may be used on products custom-packaged for food distributors by dairy processors or on products processed in plants operated by food distributors. Examples of private-label brands of milk and ice cream include KROGER milk of The Kroger Company; LUCERNE milk of Safeway Stores, Incorporated; MARVEL ice cream of the Great Atlantic and Pacific Tea Company, Incorporated; and TABLERITE ice cream of the Independent Grocers' Alliance.²

Procedures

Information about the extent of private-label brands of milk, ice cream, and other dairy products, and display and pricing practices for them was obtained in a survey in late 1964 of 194 retail food chain stores in 20 large- and medium-sized cities in 10 Midwestern states.

² Main offices of these retail food chains, in the order listed, are at 1014 Vine Street, Cincinnati 1, Ohio; Fourth and Jackson Streets, Oakland 4, California; 420 Lexington Avenue, New York 17, New York; and 131 South Wabash Avenue, Chicago, Illinois.

¹ Federal-state cooperative agent with the North Central Regional Committee on Dairy Marketing Research.