Yet when compared with Nielsen data from the year prior, the share of private-label CPG sales went up 11% at both premier fresh grocery stores and mass merchandise/superstores, while the share of private-label CPG sales went down 4% at value groceries.
During the same measurement period, sales of private-label CPGs at conventional grocery stores took an additional 3% of the market share away from brand-name CPGs.
A few grocers seem to be responding to this shift by rebranding and revamping the products offered within their private-label brands.
Target, which is one of the largest sellers of private-label CPG products in the country, announced a major overhaul of its store-brand grocery business in August with the unveiling of its Good & Gather brand. Set to eventually replace the store’s existing private-label grocery brands—Archer Farms and Simply Balanced—Good & Gather will include a product line extension specially for organic foods, as well as a “signature” line for more premium items. Target announced that its products won’t contain artificial flavors, sweeteners, synthetic colors or high-fructose corn syrup, distinguishing the Good & Gather brand from lower-quality private labels.
According to data from Numerator, 13% of CPG sales at Target were private label in 2018.