Supervalu, Safeway Part With Daymon, Shift Private Brands In-House

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Supervalu, Safeway Part With Daymon, Shift Private Brands In-House

Daymon Worldwide and Supervalu are ending their strategic partnership, effective May 15. The news follows on the heels of a similar move by Safeway, which last week also said it was dispensing with Daymon’s services. Both Minneapolis-based Supervalu and Pleasanton, Calif.-based Safeway are taking their private brand programs in-house

“Over the past six years at Supervalu and five years at Safeway, we have helped them launch their new portfolio of brands and grow their private brand penetration steadily over time,” noted Jeanne Muchnick, spokeswoman at Stamford, Conn.-based Daymon, a diversified global company operating in 22 countries that owns profitable businesses in such areas as packaging design, in-store activation and consumer events. “We are proud of the work we did at both of these companies and value our long-standing partnerships. We hope to continue to work with them in a new capacity.” Muchnick gave no details on the character of these new working relationships.

Daymon and Supervalu first teamed up on the grocer’s newly combined Own Brands organization back in December 2006, while Safeway and Daymon’s partnership dates back to early 2005.

Pleasanton, Calif.-based Safeway’s partnership with Daymon is scheduled to end May 28. “The timing of these two retailers actions are to our knowledge not related, as they compete in different marketplaces and run different business models,” observed Muchnick.

Daymon will continue to operate off-site satellite offices in both regions to serve its supplier partners. “When one door closes, another one opens, and we see this as an opportunity to focus more on our supplier needs in the region,” said Daymon president and CEO Alex Miller.

Other Daymon clients in the grocery sector include Wegmans, Ahold, Costco, Fresh Market, Harris Teeter, HEB, Kroger, Roundy’s, Save-A-Lot, Topco and Winn-Dixie.