August 18, 2011
Walgreens today officially unveiled its new store brand Nice! in stores across the country.
According to the company, the new brand will include more than 400 high quality grocery and household products at prices up to 30 percent below other national brands. Walgreens plans to have most Nice! product on its shelves by early 2012, including many that go beyond what might be expected from a drugstore brand, such as soups, sauces and bakery items. The company will continue adding products to the Nice! brand throughout the next few years.
Nice! features a bold, clean design aimed at being easily recognizable and simplifying the shopping experience. Current store brands including Cafe W, Deerfield Farms, W and others will be phased out and transitioned to Nice!
"Store brands have always been a core part of our business. With more shoppers seeking value in this economy, we've been able to attract new customers across every income level to our brands and maintain their loyalty with a focus on quality and assortment," said Joe Magnacca, Walgreens president of daily living products and solutions. "Now with the launch of Nice!, we are streamlining our offering to make it even easier for customers to identify high quality everyday essentials at a great value."
Walgreens said it has seen positive consumer response to the more than 20 products already on shelves in many stores, including dry grocery items such as tea, dried fruit, rice and macaroni and cheese.
An integrated marketing campaign will build on the brand's message around quality and savings compared with other national brands, as well as the wide variety of everyday essentials under the label accessible from neighborhood Walgreens stores.
In addition to store signage already under way, the drugstore chain will launch a broad national marketing campaign planned for next year, to drive awareness and generate trial. Employees are also being engaged to become brand ambassadors for Nice!
"With the consolidation of brands, and the additional products we will roll out under Nice!, we expect it will become a leading brand," said Moe Alkemade, Walgreens divisional vice president and general merchandise manager of private brands. "Our store brands are no longer just the value option, they are the smart option."
According to A.C. Nielsen data, total private brand sales in the U.S. have increased from $64.9 billion in 2005 to $88.5 billion in 2010. The fastest growing store brand consumer segment is households with incomes greater than $100,000, according to Nielsen.