Consumers see private label quality increasing
Jan. 21, 2011
CHICAGO — Forty-four per cent of grocery shoppers believe store-brand products are a better quality today than they were five years ago.
“With the exceptions of drinks and personal care products, most consumers believe private label options are of equal quality to nationally branded products,” said Fiona O’Donnell, senior analyst at Mintel. “The lack of perceived difference can be attributed, in part, to the fact many retailers have introduced premium private label products in recent years that rival their branded counterparts in flavor and nutritional value, as well as the packaging design and shelf placement.”
In fact, 39% of respondents who said they are the primary grocery shopper in their household said they would recommend a store-brand product, and 34% said they don’t feel they are giving anything up by using store brands with only 19% believing it’s worth paying more for name-brand products. Additionally, 62% of all consumers believe there is no difference in quality between name and store brand dairy products, and 61% believe there is no difference in canned or shelf-stable food products.
“Private label brands are overcoming the stigma once associated with ‘generic’ products,” Ms. O’Donnell said. “Even though the recession has ended, and consumers may be in a better position financially to return to name brands, it’s likely many will continue to buy store-brand staples that are of equal quality.”