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What is a Captive Brand?

 , updated on September 30, 2017
A captive brand is a brand that is owned and sold exclusively by a retailer without evidence of this relationship.

Generic vs Captive

Historically, retail chains often offer generic brands that are closely affiliated with the retail brand. Such brands are viewed as discount alternatives to popular nation brands. Captive branding is a more recent strategy that seeks to build premium brands to directly complete with national brands at the same price level. In some cases, large retail firms purchase well known brands and then sell them exclusively in their stores. It is also common for a retailer to develop a new captive brand.
Overview: Captive Brand
A brand that is owned and sold exclusively by a retail chain without communicating this relationship on packaging or in advertising.
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