Electricals retailer wants to simplify its own-brands to focus on ‘good’, ‘better’ and ‘best’ price points
Electricals group Dixons is axing its “plethora” of own-brands in favour of a new line-up designed to simplify and clarify its range structure for customers.
Dozens of established Dixons brands such as Matsui will be phased out. They will be replaced by new brands Essentials, Logik, Sandstrøm and Goji and existing label Advent will be extended.
The first two - Essentials and Logik - will reflect a ‘good’ price architecture positioning and Essentials will also cover entry price points. The others will be ‘better’ and a ‘best’ brand may be introduced later. All will feature as appropriate in Dixons’ two chains, Currys and PC World.
Essentials at Currys and Essentials at PC World comprise about 70 products at present and will be built up further.
Dixons head of business development Anthony Morris said customer research showed shoppers wanted a simpler brand structure and the Currys and PC World names have strong resonance.
He said: “They’re both trusted brands so we can consolidate our plethora of existing brands.” The changes will give customers better choice, design and value, he maintained, leveraging Dixons’ relationships with leading suppliers.
Essentials, a “no-nonsense” range of basics expected to appeal to consumers such as first home buyers and students, includes products from kettles to fridges
in Currys through to USB sticks
and netbooks at PC World.
Logik is designed to be a better value alternative to big-name brands in categories from small-screen TVs to toasters. Advent, an established PC World brand, will be extended to personalised items such as laptop covers.
“Scandinavian-inspired” Sandstrøm will also compete against well-known brands by providing a similar product spec at lower prices or higher spec at similar prices. Goji is a “design-led” range of bags and storage for electronics on the move, such as camera cases.
Verdict consulting director Neil Saunders welcomed the initiative. He said: “I think it helps to simplify the offer but, more importantly, it refreshes brands that are tired.
“Many of the existing brands are not known for their quality credentials - something that is much more important now, even at the value end of the market.”