retail news in context, analysis with attitude

A new study from Market Force Information,a global consumer intelligence company, suggests that 96 percent of US consumers are buying private label groceries. "Of the categories studied, dairy products were the most frequently purchased private label groceries, while snacks ranked second, and cereal and cleaning supplies tied for third," the report says.

According to the study, "Eighty-three percent of consumers indicated that they sometimes buy private label brands if the product is better or it offers a higher value than the national brand alternative in a particular category. Thirteen percent said that they always buy private label if one is offered in their desired product category, and only 4% are either unaware of private label products or never purchase them because they believe national brands offer a better value and product."
KC's View:
No real surprise here, though the number is a little higher than I might've expected. Retailers have gotten smart - they've realized that their success is keyed to offering products and services that the competition does not offer, and having a strong, vital and growing private label program is critical to such a strategy.