When you are looking at house brands, we previously learned that the price differences do not really vary just as much even though these house brand products were initially introduced as a cheaper alternative to established brand items. The premise is the fact that house brands provide a cheap, no-frills alternative, by which cost savings from lower (or non-existent) advertising and marketing can be forwarded to consumers.
In recent years, house brands happen to be a major focus for supermarkets in Singapore. For instance, FairPrice continues to be likely to unveil 300 more services to refresh their offerings of house brand items. They also have committed to freezing the prices of 100 house brand products until June 2021, on top of providing an additional discount for the Merdeka Generation, to keep prices competitive and house brand products affordable.
With the expanded range of house brand items available, we'll examine to what extent house brand products are cheaper than brand name items.
Prices Of House Brands Today
In this exercise, we check out the basket of things commonly purchased and compare the cost differences of house brand items with brand name items.
Cooking Oil (2 litres)
FairPrice Premium Oil: $5.95
Knife Premium Oil: $7.50
Naturel Brand Oil: $7.80
Kaya Spread (250g)
FairPrice Kaya Spread: $2.50
Frezfruta Kaya Spread: $3.95
Glory Kaya Spread (No Sugar): $3.30
FairPrice Mayonnaise (330g): $2.50
Kewpie Mayonnaise (310ml): $4.50
Best Foods Mayonnaise (220g): $2.65
FairPrice White Pepper Powder (100g): $4.15
Anchor Brand White Pepper Powder (100g): $4.00
Pagoda White Pepper Powder (25g): $2.35
FairPrice Ketchup (320g): $0.90
Delmonte Ketchup (340g): $1.20
Heinz Ketchup (300g): $1.15
FairPrice Salt: $0.45
Pagoda Brand Salt: $0.50
Nature First Sea Salt: $3.95
Canned Halved Peaches (825g)
Canned Tuna (185g)
FairPrice : $2.10
Farmland Tuna In Brine: $2.20
Tesco Brand: $2.65
Full Cream Milk (1 litre)
Harvey Fresh: $2.10
Dutch Lady: $2.50
White Rice 5kg
Royal Umbrella: $16.20
Bee Hoon (400g)
Chilli Brand: $1.20
Tai Sun Brand: $1.15
Apart from pepper powder, the cost of most of the house brand daily essentials range is about 20% cheaper and may be also up to 40% cheaper.
Is It simply About Money Saved?
When you are looking at essential groceries, brands and external packaging are inconsequential to the more important qualities of the product such as taste and cost. Unless you had prior negative experience in using brand name products, the price savings you get from switching to accommodate brands for essential products like rice, oil and vermicelli could be rather substantial given that their markdowns is often as high as 40% based on the basket of goods we compared. They are, typically, 10-15% cheaper than brand items.
The house brand offerings also have diversified, with different house brand products under sub-brands depending on the group of the merchandise you are considering. For example, included in this are FairPrice, Pasar, Home Proud and Pasar Organic brands that cater to quality foods, fresh produce, homeware and organic food, respectively.
The extensive variety of sub-brands and significant financial savings provided by house brands are meant to make sure that there remains an inexpensive option for your essential needs. Obviously, brand items may still become your preferred option in cases of brand loyalty, or you have specific preferences on the scent of the detergent, and have any allergies or ingredients you are responsive to in the makeup of your product.