A new startegy by Mercadona for the private labels

The supermarket chain Mercadona has decided to change the production strategy of its white brands (Hacendado, Deliplus, Bosque Verde and Compy). The brands that exclusively developed for the company, a whole category of products and specialized suppliers for specific cases. Now it has decided to transform both into a ‘totaler provider’ with whom it will contract products for the product itself.

This is a movement that Mercadona started in 2012, after realizing that the integrated suppliers that supplied them with a complete category of products did not have to be specialists in manufacturing all the products of that category, so they had to be given time to develop a new product or resort to a ‘specialist provider’.

With the introduction of the ‘totaler provider’ Mercadona seeks to gain “agility” when it comes to introducing the “effective assortment” that the customer demands and several companies will be able to make white label products for Mercadona of the same category. The aim is to offer a wider range of “maximum quality and at the best possible price,”.

Source: Elconfidencial