History
President's Blend
The first President's Choice (PC) products began appearing on Loblaw store shelves in 1984, but the concept was created the year before as the company marketed a new ground coffee. Dave Nichol, president of Loblaw Supermarkets, was looking for products to add to the company's lineup of No Name generic items and had even begun offering gourmet items in the familiar unbranded yellow packaging. Nichol's Louisiana buyers had discovered a new high-grade coffee, around the time some of the leading national brands had downgraded the quality of their store coffee. Toronto designer Don Watt was asked to create new packaging—the only stipulation being that it had to be yellow, similar to No Name packaging. Watt recalled how PC Gourmet Coffee went on sale by Christmas:It goes on the shelf and becomes the number-one selling item in the grocery section. And Nichol, who was always listening to the consumer, said, "Well, I guess the consumer is telling us that we should be trading up. Why don't you take your President's Blend idea and figure out how to do a package? Because we've got a lot of yellow in the store, so the only comment I'm telling you is don't make it yellow."Loblaw kept the "President’s Blend" label, but the name was otherwise too product-specific. Since the new line would be personally endorsed by Nichol, an associate suggested "President's Choice", a name that could be used for a wide range of items. According to Watt, "PC was chosen because it was the president's 'choice'. It wasn’t necessarily the absolute best that you would find in a gourmet deli or something—it was the best value, the best quality, the best relative to the competition." Nichol's association with the product line extended to almost every aspect of marketing, including the President's Choice logo, which was in Nichol's own handwriting.
Development
In developing a line of store-brand products, Loblaw looked to one of Great Britain's leading merchandisers for inspiration. "Nichol remembered seeing how London retailer''Insider's Report''
Some of the first PC products included Belgian biscuits, chocolate chip cookies, and passion fruit sorbet. The brand's advent coincided with a new marketing tool, ''Dave Nichol's Insider's Report'', first published in November 1983. Described by Nichol as a cross between '' Mad'' and ''During our visit to their plant in Belgium, we discovered that Delacre is the world's largest producer of tinned assortments of premium biscuits. So then and there we put in the challenge to them: "Let's create the best assortment of tinned biscuits in the world." To accomplish this, Delacre laid all of its most costly biscuits on a table along with empty 1 kg tin. We then proceeded to fill it with a selection of your favourites – both dark and milk chocolate. Bichocs, cigarettes russes, etc., etc When we were done the President of Delacre look at it and said, "This assortment has more chocolate than any of our other assortments – it's definitely our best."Throughout the ''Insider's Report'', Nichol promoted PC as good as or better than the national brand at substantially lower prices, often drawing direct comparisons to competitors' products. For Loblaw's management, the PC sales strategy surpassed simply competing with national brands; its ability to draw customers into stores was considered important. Nichols said, "We're trying to create products that you can't get anywhere else, so you’ll have to come to our stores!" The approach led to unique items such as PC Gourmet Italian Dog Foods, and lines such as "The Decadent" products and "Memories of" sauces. And while not all successes originated with Nichol, many did:
Nichol had some stunningly creative ideas. When, for instance, he tasted a satay sauce at a restaurant at Bali, he put his staff to work replicating it, sending them back to the kitchen time and again until they got it right ... Memories of Szechwan Peanut Sauce & Dressing has outsold ketchup in some Loblaw stores.
The Decadent
Nichol loved chocolate and cookies. When it became known that another brand was trying to create a cookie to compete with PC's Chocolate Chip Cookies for the Connoisseur, he decided he wanted to develop "the ultimateWhen the first samples arrived, I asked Jim White to try them. "Are they good?" Jim's eyes glazed over nd he said"They're beyond good—they're truly decadent."On its release, The Decadent Chocolate Chip Cookie contained 39% chocolate chips by weight, more than double the leading national brand. It soon became the best selling PC product, and within three years was Canada's best-selling cookie, even though it was available in only 20% of Canadian food stores. Not all PC products were hits. Lucullan Delights, a vanilla crème sandwich cookie designed to compete with Oreos, was introduced a year before The Decadent. Nichol saw a food critic's reference to Lucullus, a 1st Century B.C. Roman senator famous for his lavish banquets, and decided to use the name. However, sales were slow as shoppers apparently struggled to make sense of the name, even with an explanatory note on the packaging. In 1992, the product was reformulated and relaunched as the "Eat The Middle First" cookie, with Nichol's guarantee that if you didn't like it, he'd give you a bag of Oreos for free. Sales subsequently rose.
G.R.E.E.N
In the spring of 1989, Loblaw introduced G.R.E.E.N, a new line of environmentally friendly and body friendly PC products—the first major North American company to offer a "green" product line. The items ranged from unbleached coffee filters to organic lawn and garden fertilizer. In the June issue of ''Insider's Report'', Nichols wrote how surprised he was at public interest in such products. He explained how his team had met with executives of Canada's leading environmental groups to ask them what products they would like to see. However, he cautioned, "We accept the fact that ... not all environmental groups will agree with all our President's Choice G.R.E.E.N products". The new line was soon criticized by a number of groups. Greenpeace took exception to G.R.E.E.N's organic fertilizer, maintaining that it was not completely toxin-free. The Consumers Association charged that some items were no different than products already on store shelves. There was further controversy when Colin Isaacs, executive director of Pollution Probe, appeared on TV with Nichol to provide a qualified endorsement of non-chlorine bleached disposable diapers, saying that if you had to use disposables, these were the ones to buy. Isaacs soon resigned as other environmentalists objected to any endorsement of a throw-away product. While Nichol defensive at times, he contended that events had actually helped promote G.R.E.E.N:"The real success of the green story is the enormous controversy it caused", he says. "Within four weeks we had an 85% awareness level, and 27% of the people actually had bought the products." After a minute of reflection he adds, "Controversy is a wonderful thing."Loblaw president Richard Currie pointed out that following the introduction of the line, a flood of "green" products by other manufacturers hit the market. A year later, the number of G.R.E.E.N products had reached 100, with another 50 planned; however, product development eventually slowed. Nichol later lamented that it was difficult finding green products to bring to market.
Growth
By 1990, the number of PC products had reached 500. Meantime, Dave Nichol's ''Insider's Report,'' which, according to an A.C. Neilson survey, was read by 59% of Ontario households, had become almost exclusively devoted to the promotion of PC, which now represented $1.5 billion in sales, or 20% of Loblaw's annual revenue. Nichol continued to pursue product categories where he felt PC could make alternatives to Coca-Cola. Years later, the 2004 launch of PC New Wave Cola featured blue and white packaging, with a "Join the New Wave Generation" ad campaign "calling all Pepsi Cola Fans" to switch brands. In November 1991, Too Good To Be True! was launched, with 50 healthful low-fat products. "Dave Nichol’s Barbecue Secrets" video, on outdoor cooking with PC products, sold some 55,000 copies. Throughout Nichol's association with PC, his own palate played a major part in product development. One newspaper report said, "Dave's taste buds decree major business decisions." The Loblaw test kitchen, next door to Nichol's office in central Toronto, served as crucible for product acceptance or rejection:Nichol is stepping through his daily paces in Loblaw's airy, white test kitchen. Seven product-development staff hover watchfully. He forks a small sample of what appears to be chilli with meat into his mouth. The room falls silent. He closes his eyes. He swallows. He nods his head. The tension breaks. Dave likes it ... This is market research, Dave Nichol style. No focus groups. No marketing surveys. If the president of Loblaw International Merchants, the product-development arm of Loblaw Companies Ltd., likes the taste, it's in.If an item had Nichol's approval, and merchandisers expressed interest, it could be brought to market in a few months. If he was unimpressed, it usually meant the end of the line for that item. "He could kill a product with a shrug of indifference, and there was no court of appeal." Most ideas were rejected or sent back to suppliers for modification, while others went through numerous reformulations before getting the go-ahead. Meanwhile, Nichol relished his role as ultimate arbiter. "Nothing gets called President's Choice without my approval", he said. "If you dislike any of them, then I'm the guy who has to take the blame." Nichol and associates also paid close attention to packaging. Though Don Watt produced early versions of it, others, such as Loblaw art director Russ Rudd, created many of the most successful designs. For The Decadent Chocolate Chip Cookie, Rudd lined up hundreds of cookies on a conference table and photographed the best-looking ones. An enlargement of one cookie became the cover shot, with dozens of chocolate chips forming the background. Sometimes unconventional stock photos were used to represent a product's unique nature. A fierce-looking Japanese Kabuki actor in heavy theatrical make-up became the image for PC's Memories of Kobe line; and the penetrating eyes of a veiled woman, from a fashion shoot, became that of PC Memories of Ancient Damascus Pomegranate Sauce. Nichol apparently enjoyed using images other food manufacturers would never consider.
U.S. and other markets
While PC became increasingly popular among Canadian consumers, it was still largely unknown in the United States. In fact, U.S. stores owned by Loblaw in St. Louis, Missouri and New Orleans, Louisiana never carried the line. By the late 1980s, Don Watt, working on design contracts for a number of US supermarket chains, became something of an "unofficial ambassador" for PC. Nichol, who regarded the US market as "a great opportunity", considered "going global" the next logical step. He told of how international executives who toured Loblaw stores would ask whether the company's private label program was for sale. But while Loblaw pitched PC as a higher-margin alternative to the national brands, putting PC products on US retailers' shelves proved more complicated:icholbrought in a man named Tom Stephens to sign deals with regional grocers like D'Agostino in New York and Jewel in Chicago. He told them a strong store brand would free them from the tyranny of manufacturers. Many US grocers scoffed at the idea, calling it "Canadian lunacy", Stephens remembers. "The stores that took President's Choice ... were either desperate or brilliant."As PC began making inroads, Loblaw aired a series of primetime
If I sold you a PC tennis shoe, I think you would understand that I’m trying to give you a better tennis shoe at a lower price. The PC franchise is expandable in any number of directions.He referred to a "brand tax revolt" by consumers.
Nichol departs
In November 1993, Loblaw Companies Limited announced that Dave Nichol was leaving as president of Loblaw International Merchant, the company's control label division, to establish his own business as a consultant, and that he would remain as PC's spokesman. Nichol dismissed suggestions that his departure was anything but amicable, and said Loblaw did everything to convince him to stay in his present position, but that he felt somewhat constrained. He hosted one more issue of ''Dave Nichol’s Insider’s Report''; then six months later was no longer associated with PC. He began promoting a number of Dave Nichol-branded products as the new president of controlled brands at Cott Corp., a private label soft drink maker. Loblaw president Richard Currie said the break was "neither positive nor negative" but “neutral”, and that the business did not require a spokesman.PC after Nichol
The ''Dave Nichol's Insider’s Report'' became ''The Insider's Report'', but looked much the same. Loblaw International Merchants, in charge of PC product development, merged with the company's buying division, Intersave, becoming Loblaw Brands Limited. Although Nichol's departure received considerable news coverage, media reports indicated little or no negative impact on Loblaw:Since Nichol’s departed, Loblaw's profits have shown double-digit growth in five of six quarters. Total Loblaw’s sales in Canada were up 8.4% in 1995. Company brand sales – chiefly President’s Choice – were up 18.5%, well ahead of the average gain of 11% recorded by A.C. Nielsen of Canada Ltd. for 550 store-brand product categories.In subsequent years, Loblaw continued expanding the number of PC products and extended it into new service-oriented areas. In 1998, Loblaw launched
Galen Weston
In October 2006, after a problematic corporate restructuring caused a string of losses, John Lederer resigned as president and Galen G. Weston assumed the new post of Executive Chairman of Loblaw Companies Limited. Within a year, he had taken on the role of spokesman for President's Choice. In a series of television commercials designed by Toronto advertising agency Bensimon Byrne, he appeared informally in shirtsleeves and, without reference to any corporate title, introduced himself simply as "Galen Weston". One of the first ads showed him promoting the new 99-cent PC GREENProduct lines
In Canada, PC products are generally sold only at Loblaw-owned or affiliated stores. A notable exception is PC beer, which in''Eat Together Marketing'' Campaign
In 2017, PC began their ''Eat Together'' campaign, focusing on the idea that sharing meals increases happiness and is generally beneficial for people. The campaign uses a new slogan each year, focusing on societal issues such as disconnection due to technology, eating alone in the workplace, and social media influence. In 2019, in addition to encouraging people to look away from their screens to spend more time with family, it encouraged them to "live in the present moment" rather than focusing on social media. The campaign included short commercial videos. The initial online campaign (2017) received over 11 million views and 27,000 shares. In 2019, the annual commercial received 1.1 million views within its first two months. PC's 2021 ''Eat Together'' commercial was a 90-second film that features British-American philosopher Alan Watt's speech “The Dream of Life”, with landscapes, and people participating in sports and other life experiences.Types of products
PC products include food products such as: * Prepared foods – including baby food, canned foods, soups, condiments * Grain products – including breads, cereals, grains, rice * Dairy products – yogurt, cheese, etc. * Frozen food – frozen desserts, entrees, meats * Drinks – juice, soda, water, coffee, lemonade, tea, beer * Fresh foods – including deli products, meat, poultry, fresh pasta, produce, seafood * Snacks – crackers, snack foods, chips, dips, sauces ...and non-food items such as: * Pet foods and supplies * Baby products * Bath and body-care products * Cleaning and household products * Laundry supplies * Paper and office products * Other general merchandise ...as well as:Mobile phone service
Financial services
PC in the United States
President's Choice began appearing in US supermarkets in the early 1980s. In theInternational availability
Loblaw products and subsidiaries are now prevalent across the globe and export products to almost every chain grocery and drugstore on the planet. Whether under the Presidents Choice label, No Name label, PC Blue, PC Express, Rexall, Loblaws, or countless other brands and products the company has acquired or has distribution rights for.See also
* List of Canadian mobile phone companies * Dave NicholReferences
External links