FMI says 94% of U.S. grocery shoppers would keep buying private-label products even if prices fall, and nearly half increased purchases over the past year. Walmart, Kroger, Costco and Aldi are investing in store brands to compete on more than price.
U.S. private-label consumer packaged goods sales have reached $330 billion, representing 24% of units and 23% of dollar sales, Circana says; private labels make up about 24% of food and beverage sales value. FMI found 92% of U.S. grocery shoppers have store-brand products at home. Among shoppers who increased purchases, 39% cited quality and 37% taste, up from 30% and 26%, respectively, in 2023.
Costco's Kirkland Signature products are exclusive to the retailer; Circana says club retailers account for nearly half of private-label growth. Aldi says more than 90% of the products it sells are exclusive brands. Walmart announced in April the first complete Great Value redesign in more than a decade, covering nearly 10,000 food and consumables products. Kroger said its own-brand sales outpaced national brands in its latest quarter, while Private Selection sales rose more than 14%.
