Private Label Food Sales Grow As Affordable, Healthy Option For Consumers

With consumers increasingly looking to eat healthy on a budget, private label food products have burnished their image, becoming “trusted, quality lines” that compete well with national brands, a market researcher reports. Private label represented about $106 billion of the $530 billion food and beverage market in 2013, a two percent increase. Private label offers retailers several advantages: higher profit margins than name brands, they help differentiate the retailer from competition, and they help build customer loyalty. Retail dollar sales of private label food and beverages are expected to grow at a CAGR of four percent to $122 billion in 2018.