Future of Private Label in Fresh Produce Category Is on A Rise
Retailers are steadily improving their privately-owned brands quality and saturation, so consumers are increasingly choosing private labels instead of the national brands. Store brands were once deemed to be generic or of lesser quality but have consistently earned a reputation as preferred choice by consumers over national brands. Therefore, retailers are investing more and more in-house brands, so as to offer innovative products. This has resulted in increasing the private label value.
Incredible statistics about private label
Private label packaging is not restricted to food & beverage categories only but retailers are offering reliable quality within fresh department. According to a survey report –
- 81% of consumers in the US are currently purchasing private brand products on almost every shopping spree.
- 74% say private label offers better money value.
- 85% trust private label just like the national brands.
- More than 53% agree to shop at a specific retail store because of its private label.
From the stats above, retail brand private labeling in fresh produce department is expected to increase in future. For example, the rise in frozen fruit category has boosted because of speedy lifestyle. This has led customers look for fresh, hygienic fruits that are cleaned and chopped, so that they can cook quickly without any hassle. Their time constraint limitations get averted.
The frozen blueberries private label has witnessed increasingly high sales pattern because of their innate antioxidant properties. Even the sliced and sugared strawberries have displayed good sales figure.
Why is the choice of private label increasing?
The key drivers of the shift from branded products to retailers in-brands is due to the well-informed millennial of today. They know about where the foods from brand products and private labels come from. Retailers are getting aware that the current demographic is less loyal to the national brands. They are extremely keen to try emerging brands.
According to a survey report, 60% consumers prefer to notice strong private label presence in fresh department. Therefore, retailers having a potent private brand strategy will certainly upset the industry as this fragment consistently grows.
Future of private label
Private label helps retailers create consistency and quality as well as earn more margin and offer better rates to consumers. Fortunately, high quality private label produces builds trust between retailer and their consumer. It eliminates the guesswork from shopping experience. Thus, retailers are able to distinguish themselves from the national brands.
National brands can be bought at any other store but private label house brand will be available at a specific store. This strategy is getting recognized more and more, so adopting private label is predicted to grow consistently in future. This trend is not expected to end anytime soon.