Are Store Brands Really Lower Quality?

Question

I work at CVS and of course every CVS brand is about 30% cheaper than the name brands. But when my brother and I were talking about it he brought up a good point. CVS makes everything from pain relievers to shampoo, and everything in between. Wouldn't that mean that they get other companies to make their products because it would be nearly impossible to manufacture all of those products... So I was thinking that maybe they just get name brand companies to make extra in their factories. Anyone know anything for sure?

Answer 1

They are a OEM customer.  They buy generic product, and put their name on it.  They are not getting supplies from a name brand company, it's a conflict of interest.  The most expensive part of name brand is the marketing.  So it doesn't make sense for a company to invest that kind of money, and not use it.

Do you think Air Jordan shoes cost a $100 bucks because the thread and leather they use cost 10 times more then generic shoes, or is  because they have to pay Jordan?

Answer 2

CVS and MANY other companies contract with different manufacturers to make their products. So...say a paint manufacturer will make their own brand then sell extra capacity to another company. A bakery may make their own cookies then produce another "brand" of cookie for someone else. LOTS of different brands come from the same factory