Trader Joe’s signature tote bags have taken on a life of their own far beyond the grocery store. On February 27, the food retailer launched a miniature version of its coveted tote bag in shades of navy, green, red and yellow for $2.99. The tote bags were quickly swept up by loyal devotees of Trader Joe’s as well as consumers who just wanted to get their hands on the trendy accessory. When the mini bags were restocked on September 18, the product drop made national news as customers l
ustomers lined up in Trader Joe’s stores just to purchase the bags, aside from actual groceries.
Trader Joe’s is not the only retailer tapping into the power of aesthetic branded merchandise. Beauty brands, hotel chains and museums have been leaning into this retail phenomenon where consumers are signal their allegiance to particular businesses — and their values — by wearing branded merch.
Creating a “lifestyle” out of a brand
“In 2024, consumers are investing their money in more than just a product when they make a purchase,” Bethany Paris Ramsay, the founder of beauty marketing and communications firm Honey B, explained.
“There’s a more thoughtful type of consumption that is prevalent in which product efficacy is essential, but even more so, your brand’s entire ethos is being considered.”
Take Glossier, for example. The brand’s success can be measured not only by the number of consumers who are eager to get their hands on Glossier products but also by their desire to be seen as the kind of person who buys those products.
As the beauty marketing expert stated, “The aura of the Glossier Girl is so strong that a simple baby pink hoodie with a logo across its chest became something to covet. A status symbol of sorts.”
Luxury grocery store chain Erewhon’s branded merch has also become a status symbol. Unlike the Trader Joe’s version, Erewhon’s tote bags retail for $52-138.
Aside from their utility, these bags are “an opportunity to be a part of a community or a perception of a community, that allows the wearer to communicate through the self-expression that is fashion, or in this instance, merch,” Ramsay elaborated.
Retailers aren’t the only companies profiting off of consumers’ growing interest in merch. Adam Lovick, a content strategist and founder of First Class Jerk, a New York-based travel brand and creative agency, has observed a rising interest in branded hotel merchandise thanks to the “resort-core” trend.
Lovick explained that “resort core” refers to consumers buying signature merchandise from luxury hotel chains like The Four Seasons to flex living a lavish lifestyle or at least make it appear like they are.
Be it a $218 nylon tote from the Beverly Hills Hotel or even a $770 pair of silk pajamas from the Peninsula London, “each of these items makes travelers feel a part of the club,” Lovick remarked.
The creative strategist also noted that this type of branded merch often creates a deeper impression on consumers that companies can profit from in the long run.
Luxury hotels “should be selling the lifestyle outside the walls of their properties. Long after your Instagram stories from summer vacation fade, hotel merch will be a reminder of good times and destinations,” Lovick emphasized.
The happy memories and positive impressions in turn can encourage consumers to come back, or inspire those who see and admire the merch to check out the brand for themselves.
What kind of merch do consumers want to buy?
No matter how popular a brand may be, style still plays an important role in whether or not its merchandise will gain traction with its core following and outside audiences.
“The brands whose merch has gained popularity are the brands creating merch that consumers would actually want to wear or use, regardless of the brand on it,” Melissa Minkow, director of retail strategy at CI&T, pointed out. “This merch has to look good or serve a real purpose, and be on trend, so it would work on its own.”
Amber Luan, the director of merchandising and retail strategy at Brooklyn Museum, also highlighted how merch needs to tie into a brand’s overall aesthetic and messaging. The museum recently launched its latest merchandise collection as part of its 200th-anniversary celebrations.
“We knew that in designing the merchandise we had to find a balance between reflecting the tradition and the creativity of the museum while intertwining the unique & distinctive characteristics of the Brooklyn borough,” Luan said.
For example, the colors for the new water bottles and key chains were inspired by Prospect Park and brownstones, whereas the “I Love Brooklyn Museum” stickers and ceramic mugs paid homage to the etching and double dots found on the museum’s limestone facade.
“Launching intriguing and fun merchandise is not just about aesthetics; it’s about creating memorable connections with our visitors that give them energy! It’s important to ensure that every interaction, whether it be through visiting the museum itself or repping a keychain from the Brooklyn Museum Shop, feels both authentic and innovative,” Luan said.
Who buys branded merchandise?
Not every shopper is interested in buying aesthetically designed tote bags or T-shirts with a brand’s logo on them so before retailers rush off to launch their own branded merch, Minkow explained that businesses should keep two types of consumers in mind.
The first type is the loyal customer who wants to broadcast their affiliation with a brand and signal to other devoted shoppers that they are part of the same “community”. Glossier fans wanting to rep a branded T-shirt fall into this group.
The second type, Minkow observed, is the consumer who finds a brand’s values aspirational enough to align their identity by wearing or sporting merch, like buyers of the Erewhon tote bag.
“Occasionally, there may instead be an aspect of irony in the decision to wear a brand’s merch, for example, if it’s representing a cult favorite product that’s no longer in existence. Or if a consumer never felt alignment with a brand but wants to wear it in subversive efforts to start a conversation with others of shared values who would find humor in that [type of] satire,” Minkow observed.
Creating a sense of belonging with a community or helping a consumer showcase a version of themselves that they want to present to the world are the keys to a truly effective branded merchandising strategy.
“Consumers don’t want to just throw a label on their bodies, but they’re willing to rep yours if the whole picture you’re selling is compelling enough,” Ramsay concluded.