In an article published this week in Brandweek, Nielsen reports that Private Brand continues to grow. The numbers are astonishing even for a sector that is benefiting from the poor economy. What do you think?
Nielsen: U.S. Private Label Sales Up 7.4%
Consumers are continuing to purchase private label products at an increasing rate, per new research from Nielsen.
The “U.S. Store Brand Development” study found that both private label dollar and unit sales significantly increased for the 52-week period ending July 11, 2009 versus the prior year.
Dollar sales grew by 7.4 percent to $85.9 billion within food, drug and mass-merchandisers (including Walmart), with shares recorded at 16.9 percent. This reflects an increase of 0.7 points from the previous year. Growth peaked in 2008 but then slowed slightly in 2009 with falling commodity prices and increased retail discounting.
Unit sales similarly experienced high growth during the same period. Sales increased by 5 percent to 39.5 billion units and unit shares rose by 1.3 points (a total of 17.5 percent).
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