Partnership of retailers & manufacturers will promote private label products to country’s grocery shoppers
PLMA has proclaimed January 2025 as the inaugural Store Brands Month. A nationwide collaboration of retailers and private label suppliers, the celebration is planned to be an annual event that promotes private label products to the country’s grocery shoppers.
The month-long event will focus on increasing consumer attention to the positive attributes of store brands — including quality, value, uniqueness and innovation — across all categories within both brick and mortar and online retail formats.
Specific promotional and informational strategies of Store Brands Month, which will involve both food and non-food products, will be organized by participating retailers and delivered in-store and through digital and social media platforms.
Its principal goal is increasing shoppers’ trial and purchase of private label items. Surveys consistently show that sampling is store brands best friend when it comes to convincing consumers to switch their allegiance away from national brands. This “sticky” effect, the result of a good experience with their new choice, often leads consumers to eschew national brands and permanently change their preference to private label, say the surveys.
Store brands are everywhere. Signaling their size and breadth, according to Circana Unify+ data in 2023, among 179 food categories store brand sales were recorded in the U.S., 98% were store brands; in 138 nonfood categories, store brand sales appeared in 132, or 96%.
“The time is right to bring greater visibility among consumers to our thriving industry,” said PLMA President Peggy Davies. “By coming together with our partners during a month-long campaign, we have an opportunity to further expand the presence and strength of the largest CPG brand in the store.”
The event will be rolled out in the wake of what is expected to be store brands’ best year ever for sales and shares. During the first nine months of 2024, dollar sales grew by 2.9%, outpacing national brands, which were up 1%. In unit sales, store brands also outperformed their counterparts, increasing by 2.3% as brands declined 0.8%. For the period, store brands achieved all-time highs in both dollar (20.4%) and unit (22.8%) shares. PLMA projects sales for 2024 will surpass a quarter trillion dollars, a new record.
