“Private label is where it’s at
In today’s ‘paradox of choice’ consumer economy, characterized by consumers confronted with too many choices in most any category under consideration for purchase, private label brands make the selection process simple and smart.
Shoppers already trust the retailer that they are patronizing, so they confidently extend that trust to buying their private label brands. That those private label brands are cheaper than the national brands is another good reason, especially with the knowledge that private label products today are often manufactured by the same companies that make the name brands and to virtually identical quality standards.
That is why Cadent Consulting Group predicts that private labels will ‘steal’ as much as $64 billion from the nationally advertised brands in the next ten years, rising from 17.7% of the CPG/food market in 2017 to 25.7% in 2027. The group further predicts that Amazon, including its Whole Foods 365 Everyday Value brand, with an estimated $2 billion in sales added to Amazon’s $2 billion grocery private label sales in 2017, will grow to $20 billion by 2027.”