Private Label A Hot Topic At UNFI's San Diego Show
United Natural Foods, Inc., closed out the first event of its 2025 show season in San Diego, which featured more than 800 suppliers and discussed several notable trends including the continued growth of private label products.
During the Spring and Summer Selling Show, private label was a hot topic. Attendees learned that store brands are estimated to grow approximately 40% over the next six years driven by competitive pricing, improved quality, and increased innovation. Through 2030, private label sales are forecast to grow nearly 6% annually, reaching sales of $462 billion.
To capitalize on this trend, retailers learned that they should consider a clear private brand strategy that communicates the value – and differentiators – of their private brand products to their shoppers.
Other trends highlighted included the continued growth of natural/organic and functional food/beverages. According to UNFI, consumption trends continue to favor better-for-you offerings, with strong performance in natural, organic, higher-protein foods, and lower-calorie or zero-sugar beverages.
As consumers continue to move toward these products, the natural, organic, and functional food and beverage industry is projected to grow approximately 4% annually for the next four years, adding nearly $15 billion in sales during 2025 and reaching $232 billion by year’s end.
Retail media, which is projected to grow more than 24% through 2028, was also a hot topic at the show. As grocery sales continue to migrate online, the opportunity to engage shoppers digitally is increasingly important for retailers of all sizes. This shift to digital interactions is bringing about a new era of consumer engagement, with digitally engaged consumers spending 20% to 40% more money than other consumers.
“While many retailers are engaging their shoppers digitally, there are still untapped opportunities to create a more comprehensive and customized digital experience,” said Louis Martin, president of Conventional Grocery Products and UNFI’s Chief Commercial Officer. “By partnering with UNFI, both retailers and suppliers can access our broad range of digital and professional services, like the UNFI Media Network, to drive profitable growth.”
In 2024, UNFI launched its retail media network for independent and regional grocery retailers across the United States. Powered by Swiftly, the network is designed to bring retail technology solutions to UNFI’s extensive network of more than 30,000 retail customer locations and approximately 11,000 brand partners, to help them compete in an increasingly digital-first world.