Still, the labels of two similar products - the Iams and Supervalu Inc.'s NutriPlan beef entrees - suggest only marginal differences. The quality of ingredients and the way they are combined affects how nutrients are absorbed by the animal, he said.
"A less-expensive brand can copy an ingredient list, but might not have the same combination to the way the recipe is put together," company spokesman Kurt Iverson said. P&G argues that even products with identical ingredient lists aren't necessarily equals. "There are no requirements around calling something a 'premium' or 'super-premium' product." "The money you spend on a diet does not always equate with the quality of the food," said Andrea Fascetti, associate professor of nutrition at the School of Veterinary Medicine at the University of California, Davis. But even veterinary nutritionists say they have difficulty telling brands apart. In the past, branded pet foods had an emotional advantage: Many owners were loath to give low-quality food to their pets. But, said Jack Trout, president of Trout & Partners, a marketing strategy firm in Greenwich, Conn., "If the public begins to get the perception that there's not much difference, then you can't hold your prices - that's the bottom line of the whole scandal." Making both private-label and brand-name products does give manufacturers a hedge against downturns.
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"If a major manufacturer is unwilling to produce private-label products, there's a possibility the retailer won't sell their branded products," said Burt Flickinger III, who has advised companies such as Alcoa, Del Monte Foods and Heinz on how to better manage their branded and private-label businesses.Īlcoa, which owns aluminum wrap maker Reynolds, for instance, makes both private-label and Reynolds aluminum foil and plastic wrap. Some consumer-product companies have been forced to make both generic and branded products to please retailers. Meanwhile, product makers, facing competition from store brands, sought to increase efficiencies by making private-label versions of their own branded products, or by outsourcing their manufacturing to third parties that could do it more cheaply.
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