Food And Beverages Drive Private Label Sales As Shoppers Seek Value
As sales of private label products continue to grow, the food and beverage category is leading the charge, according to consumer data from eMarketer.
In a survey of more than 1,200 consumers age 18 and older, 56% said they typically fill their shopping carts with store brand products in food and beverages, far outpacing the household cleaning supplies category, which came in at 38%.
Private label clothing and apparel products are purchased by 34% of consumers, with 33% choosing personal care and beauty products, 28% opting for health and wellness products, and 24% selecting pet products.
The latest insights into which private label products consumers are buying follow data from the Private Label Manufacturers Association and Circana, showing continued sales growth of store brand products.
For the six months ending June 15, private label dollar sales were up 4.4%. During the same period, national brand product sales were up 1.1%. Private label unit sales were up 0.4% as national brand unit sales were down 0.6%. Unit share for private label products continued to grow, hitting 23.2% in the first half. This is a continuation seen over the past two years. In 2023, store brands unit share was 20.5%, rising to 22.9% in 2024.
By category, the largest growth in private label sales over the past 12 weeks as of mid-June was refrigerated foods, up 10.5%; beverages, up 4%; pet care, up 2%; frozen food, up 2%; and beauty, up 1.6%.
Additionally, a recent consumer survey conducted by Save A Lot found that more than half of shoppers are purchasing private label products at a higher rate than a year ago, as concerns over grocery costs remain high.
The survey of 600 consumers, conducted in June for the St. Ann, Missouri-based grocer by Pollfish, revealed that 79% of respondents said their average grocery costs have increased compared with three months ago. As a result, 55% said they are purchasing more private label products while also cooking at home more and cutting back on treats.
