Albertsons Cos. reports sales penetration of 25.3% for Own Brands
In its fiscal second-quarter earnings, Albertsons Cos. reported a sales penetration of 25.3% for its store brand program, known as Own Brands. Albertsons Cos.’ Own Brands include its Signature brands (Signature SELECT, Signature Café, Signature RESERVE, Signature Farms and Signature Care), O Organics, Open Nature, Lucerne Dairy Farms and others. The retailer’s sales penetration for private brands has been above 25% all year.
Sales and other revenue increased 1.1% to $14.2 billion during the 12 weeks ended Sept. 7 compared to $14.0 billion during the same quarter last year. The increase was driven by the company's 2.4% increase in identical sales, partially offset by a reduction in sales related to the stores closed since the second quarter of fiscal 2018 and lower fuel sales, Albertsons Cos. reported.
Albertsons Cos. said its identical store sales benefited from increases in Own Brands sales and the company's 40% growth in online home delivery and grocery pickup sales.
"The strong momentum in the business continued in the second quarter," said Vivek Sankaran, Albertsons Cos.’ president and CEO. "Our identical sales were positive for the seventh consecutive quarter and represented our strongest identical sales performance in over three years as we continue to elevate the shopping experience for our customers. We are focused on driving sales growth by running the best stores, growing our loyal customer base, winning in e-commerce, and enhancing our Own Brands portfolio."
Albertsons Cos. is the third-largest retail grocer in the U.S. behind Walmart and The Kroger Co. and operates more than 2,300 stores in 35 states and the District of Columbia under 20 banners, including Albertsons, Safeway, Vons, Jewel-Osco and others. It offers 12 store brands lines and more than 11,000 private branded products in over 500 categories.