A few years ago if you wandered into a Poundland store you really would not have known what products you’d find on the shelves. This was because the business sourced many of its branded lines via third-parties because the brand owners would not supply the retailer direct.
The issue was that the well known brands thought the discount proposition of Poundland would devalue the products they’d spent years placing on a pedestal built upon millions of pounds of advertising. And what would their biggest customers like Tesco and Sainsbury’s think if they suddenly started cutting deals with Poundland.
Read the full article from the Retail Insider here