New Private Brands Helping Spur Growth
Private label products have a long history of being the lowest-priced items on store shelves, but the consumer perception of what’s inside the packaging continues to improve.
A new report from Numerator shows that consumers are thinking about private label products differently. Feedback from consumers revealed that 59% of shoppers think private label brands offer an above-average value for the price, while 42% said private label items help them save money.
Growing consumer trust in private label products is also seen across retail, as store brands accounted for 24% of unit volume across 10 major product segments over the past 12 months. Leading the way was office at 37.8%, home & garden at 31.5%, and tools & home improvement at 29.3%.
Not surprisingly, private label products account for a significant share of products sold at Aldi (80%) and Trader Joe’s (70%), according to Numerator. Other retailers where private brands hold a share above 30% include Costco (35%), Sam’s Club (34%), H-E-B (34%), Walmart (31%), and Lowe’s (30%).
Numerator figures also show new private brands are having a major impact. Walmart’s Bettergoods and Target’s Dealworthy retail brands, both of which launched in 2024, are the fastest growing own brands as both have amassed tens of millions in unit sales, according to Numerator. Bettergoods has been purchased by 9% of U.S. households since its April launch and Dealworthy by 6% since February.
Other notable top private brands include Target’s Bullseyes Playground line, Aldi’s Choceur brand, B Pure from Dollar Tree, and Buc-ee’s from Buc-ee’s.
