Reasons Why Consumers Might Prefer National Brands (instead of Private Label)

• Consumers do tend to prefer national brands in certain categories, such as pet food, beauty, personal care, soft drinks, coffee and chocolate.
• More "personal" categories had higher preference to national brands. The top 10 products outselling private label the most are things like toothpaste, shampoo and skin care.
• Availability of coupons was also an important factor for choosing national brands.
• Consumers also report that brands names tend to offer more selection, variety or very specific products.
• Some consumers are pulled towards local brands, especially with a unique story.

Store Data

• A spreadsheet has been started for convenience, in order to consolidate store-specific data on private label products and revenue.
• Trader Joe's typically stocks around 4,000 products per store, with 80% being under their private label.
• Costco's Kirkland brand earned $39 billion in revenue last year.
• Target's Good and Gather line has around 2,000 products. It replaces the vast majority of Target's other private label grocery brands under one cohesive brand.
• Albertsons has a goal of expanding private label sales to 30% overall revenue. The company earns around $11 billion from all its private label products.
•  Kroger's private label products exceeded 30% total unit sales in 2018. This amounted to around $13 billion in revenue.