Private Label Growth

Private Label Growth, Now & In The Future

Private label is more popular than ever, as measured by consumers’ reported patronage of the products now, as well as how they compare them so favorably to manufacturers brands in the marketplace.

Two findings underscore this trend. Nearly three of ten in the study said they buy “more” of their favorite supermarket’s own brand products now compared to before the pandemic. Importantly, the youngest participants in the PLMA International survey – Gen Z and Millennials – increased their own label buying the greatest, as 32% of respondents in these generations indicated they buy now “more” own brands, compared with 25% of Gen X and 22% of Boomers who are now purchasing more. The number of all in the study who reported buying “less” is negligible.

32%

Gen Z and Millennials buy now “more” own brands

Future prospects for own brand sales look good as well

Economic challenges in Europe over the next few years will likely increase own brand sales even more. Forty percent in the study said that, taking into consideration rising prices due to inflation, over the next two years they expect to buy “more” own brand products than they do now. The highest response was in the UK (48% said they expect to buy “more”) and in Italy and Spain (both at 43%).

40%

of respondents expect to buy “more” own brand products over the next two years

Supermarket own brands comprise a big portion of consumers’ regular shopping baskets. Three in ten said that, on average, when they purchase groceries for their household more than half of their basket is comprised of supermarket own brands. Another 30% report that when they typically shop at least one-third to one half of their grocery order is made up of own brand products.