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Will private label grow even more in 2025?Will private label grow even more in 2025?
Last year’s number may be tough to beat
3 Min Read
Last year was the most successful year for private-label brands.Getty Images
Last year was the most successful year for private-label brands, according to the Private Label Manufacturer Association’s 2025 Private Label Report, which was released on Feb. 4.
Biggest news for grocery?
Not only did store brand sales reach a record $271 billion from Jan. 8 through Dec. 29, according to Circana Unify+ data, but high marks were also set in dollar (20.7%) and unit (23.1%) shares.
Furthermore, store brand dollar sales in all outlets increased four times more than national brands, with products rising 3.9% year over year compared to 1% for national brands.
A noticeable surge for store brands occurred during the second half of the year, as dollar value gained 4.6%.
Second-half private-label push
A flurry of private-label launches occurred toward the end of 2024: Albertsons expanded its private-label wine selection with the launch of Bee Lightly; Fareway introduced Truly Yours; Stop & Shop released its own coffee brand; Amazon launched Amazon Saver; Kroger released its Field & Vine line of produce; and Walgreens launched its private-label skin care line. Dollar General also announced that it would offer more than 100 new private-label products in 2025.
The two biggest private-label drops, however, happened in the first half of the year when Target launched its Dealworthy line in February and Walmart followed with the release of its Bettergoods brand in April. Those two store brands from the mass merchandisers became the fastest-growing private-label lines on the market in 2024, according to December’s Private Label Trends Report from data analytics firm Numerator.
Even though at-home food inflation has been somewhat steady over the last year, grocers continue to see the value in expanding their own brands, which continue to improve in quality. Private labels are no longer looked at as the red-headed step child of national brands.
By the numbers
All 10 food and non-food sections finished ahead of the prior year in store brand dollar sales, led by refrigerated (+7.5%) and general food (+4.3%)
Looking at total departmental store brand sales for the year, refrigerated was the largest with $57.7 billion
In store brand unit sales, nine departments improved year over year, with beverages and pet care both posting highs of 3.5%
The top two departments for total share brand unit sales were general food (18.8 billion) and refrigerated (14.9 billion)
Store brand unit share rose in every department, led by general food (+0.7%), beverages (+0.5%), general merchandise (+0.5%), and home care (+0.5%)
For store brand dollar share, the largest year-over-year gains were in frozen (+0.6%), general food (+0.5%), and general merchandise (+0.4%)
In their own words
“We are gratified that the new numbers represent the end of the sharp sales volatility of the last several years and a return to the steady state to which our industry is historically accustomed.”—Peggy Davies, PLMA president
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WalmartTargetTarget Corp.AlbertsonsAlbertsons Cos.KrogerThe Kroger Co.AmazonWalgreens Boots AllianceDollar GeneralStop & ShopAbout the Author
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