CPG Brands Going Brandless?

I am starting to see a few brands like Brandless, Inc. and Public Goods popping up here and there and have noticed a few things:

(1) There are different ways they play with the margin game, each with its own implications.
(a) Fixing the price @ </= $3
(b) Offering a lower price relative to big players such as P&G, Unilever, Walmart and Amazon
(c) Selling membership-based program along with price discount, similar to Amazon Prime’s strategy back in 2005. Branding along with cost control is now the strategic leverage.

(2) Branding is the key, at least in the beginning. Brandless and Public Goods are both decent names for this space. Logo design is very clean and crisp – most just used two colors, colors on the opposite end of the color spectrum, black and white.

(3) Most consumers still buys the household necessities in store so it would be interesting to see how brands educate their consumers and how consumers will adopt a big shift in their current purchasing behaviors.

I am more interested to see if the membership-based strategy will pan out in the long-term for the necessities versus wants and whether this trend will spur corporate acquisitions in the CPG industry in the next few similar to how Unilever kickstarted corporate CPG M&A with Dollar Shave Club.