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12/16/2022

PLMA, IRI Predict Record Year For Private Label Sales

PLMA is projecting 2022 private label sales to reach $221 billion, smashing the record set in 2021.
Zachary Russell
Associate Editor
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Grocery shopping

Private label grocery sales are on pace for a record year, according to data from the Private Label Manufacturers Association (PLMA) and data firm IRI.

For the first 11 months of the year, store brand dollar sales increased by 10.6%, nearly twice the growth of national brands, which were up 5.8%. The increase comes as consumers look to save, with inflation still being a major factor on purchasing.

In November, private label sales improved by 12.4% compared to the same period in 2021, while national brands were up 7.4%. So far this year, store brand dollar share is at 18.5%, unit share is 20.1%. PLMA is projecting full-year 2022 sales of private label groceries to reach $221 billion, which would be a $21 billion increase over 2021 and a new annual record.

For the annual period ended Nov. 27, IRI found that private label sales were up in 16 of 17 categories compared to last year. Beverages, Deli Prepared, Liquor, Refrigerated, Floral, Bakery, Produce, General Food and Deli Meat all saw double-digit private label growth in 2022.

In the two largest departments for store brands, Refrigerated with $47 billion in sales, and General Food with $38 billion, the increases over the 52-week period were 15.3% and 12.3%, respectively.

With 2023 around the corner and food inflation still high, retailers should expect the private label boom to continue.