The Waitrose Effect: How Upmarket Branding Impacts Consumer Perception

Asude Tarlaci
4 min readAug 3, 2023

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Copyright BRANDCREA

The UK supermarket chain Waitrose has cultivated an upmarket image that influences how consumers view its products. This phenomenon has been dubbed the “Waitrose effect” — the ability of premium branding to subconsciously enhance the perceived value and quality of goods in the mind of consumers. The Waitrose effect refers to how the store’s upmarket reputation leads shoppers to believe its private label products are of higher quality than identical own-brand items from other supermarkets, even when the items are objectively the same. In this blog post, we will explore how the Waitrose effect works and its implications for brands looking to influence consumer perceptions through strategic positioning.

Introduction

Waitrose is an upscale UK grocery retailer that positions itself as offering quality, premium products. The chain attracts affluent shoppers who are willing to pay more for speciality items and ethically sourced foods. Waitrose stores feature attractive displays, knowledgeable staff, and a focus on customer service.

The recent Channel 5 documentary Inside Waitrose: Britain’s Poshest Supermarket offered a behind-the-scenes look at how the retailer maintains its elite image. From the range of luxury products to the ornate store interiors, it revealed how Waitrose cultivates posh appeal. This cultivated image rubs off on the perception of Waitrose-branded goods.

The documentary, aptly titled “Inside Waitrose: Britain’s Poshest Supermarket”, explores the unique culture and strategic choices that have shaped the brand. Highlights include:

Targeted Marketing: Understanding their niche, Waitrose crafts marketing campaigns aimed at customers seeking a more refined shopping experience.

Partnership with Suppliers: By collaborating closely with local farmers and artisans, Waitrose ensures a supply chain that reflects its brand values.

Innovation and Adaptation: The company’s willingness to innovate and adapt to market trends has kept it ahead of the curve.

The Waitrose Effect

The Waitrose effect describes how the store’s upmarket reputation leads consumers to believe its private-label products are of higher quality than identical own-brand items from other supermarkets. For example, one study found that consumers rated identical own-brand goods from Waitrose as superior to the same product from Asda. This effect held true even when the participants were told the items came from the same manufacturer. The Waitrose branding boosted perceptions of taste, quality and value.

The Spires Barnet

Location and Property Positioning

In addition to its branding, Waitrose strategically locates its stores in affluent areas and upmarket properties. Shopping at Waitrose becomes associated with luxury and exclusivity. This location positioning also feeds into the Waitrose effect. Consumers see that only elite suburbs have access to Waitrose, further elevating its prestige.

Implications for Brand Positioning

The Waitrose effect demonstrates the power of the brand image. Consumers transfer associations of the retailer’s positioning onto its products. Even though the physical goods are identical, branding impacts customer perceptions.

This offers an important lesson for brands seeking to influence consumer views. Carefully crafted branding can elevate a product in the mind of the buyer. Elements like packaging, messaging, positioning and store ambience all play a role.

Luxury brands, in particular, lean on their high-end reputation to justify premium pricing. The Waitrose effect shows how a well-developed brand identity pays dividends.

Duchy Originals — now known as Waitrose Duchy Organic — is an organic food brand set up by Prince Charles in 1990.

Conclusion

The Waitrose Effect reveals how strategic branding choices shape perceptions. To stand out, brands must identify target customers, commit to quality, and determine their unique selling proposition. With a keen understanding of audience and market trends, brands can craft positioning that resonates.

If you need help improving your brand positioning and growing your market share, contact BRANDCREA today. We help brands at any stage achieve enduring success through strategic positioning tailored to their goals. Let us help you create your own “effect” in the minds of customers.

At Waitrose, the environment is recognisably and uniquely calm.

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Asude Tarlaci

Pioneer in Advanced AI Voice Technologies | Strategic AI Integration Advisor for CMOs and CROs | ChatGPT Expert