Private Brands Prices Remain Competitive in the Cold

Grocery cart -A new pricing study compares a winter grocery list of Private Brand products vs. national brands and finds that consumers continue to save more than 30%, on average, by making a switch to their supermarket’s brand.

The research is the latest in a series of studies conducted by the Private Label Manufacturers Association. It looked at a range of basic food and non-food items that an average family might put on the shopping list during a season when most are trying to stay warm and fight off the flu. The study tracked pricing for 35 grocery items over a four-week period at a conventional supermarket. Traditional over-the-counter drugs such as cough syrup, cold medicines and facial tissues were among the non-food items included, along with hot food items like oatmeal, hot chocolate and chili.

The study results indicate that consumers who choose the retailer’s brand for products on the list rather than the national brand could save, on average, $39.49 off their total market basket – a savings of 30.1%. When buying national brands, the total bill came to $131.17 on average over four separate trips, while the same purchases for the retailer’s brands cost $91.68.

For every category, a leading national brand was compared to a similar store brand product and prices were adjusted to account for all known discounts, coupons and promotions available.

The survey took place over a four-week period in a typical supermarket located in the northeast.

Typical Private Brand vs. National Brand Market Basket Comparison

PLMA RESEARCH

 



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Christopher Durham

Christopher Durham is the president of My Private Brand and the co-founder of The Vertex Awards. He is a strategist, author, consultant and retailer who built brands at Delhaize-owned Food Lion, and lead strategy and brand development for Lowe’s Home Improvement. He has consulted with retailers around the world on their private brand portfolios including: Family Dollar, Petco, Staples, Office Depot, Best Buy, Metro (Canada), TLW (Taiwan) and Hola (Taiwan).

Durham has published five definitive books on private brands, including his first book, Fifty2: The My Private Brand Project. In 2017, he will debut his newest book, Vanguard: Vintage Originals, a visual tour of innovation and disruption in private brand going back to the mid-1800’s.
Dynamic in his presentation while down to earth and frank in his opinions, he has presented at numerous conferences, including FUSE, The Dieline Conference, Packaging that Sells, Omnishopper and PLMA’a annual trade show in Chicago.

Durham lives in Charlotte, NC with his wife, Laraine, and two daughters, Olivia and Sarah.