The latest report by Technavio discusses the low investment and high profits system of the private label food and beverages market, as the manufacturing costs for private labels are usually much lower than that of branded products.
“The significant difference in price between the private labels and the national brands enables private-label products’ retailers to offer their products at a lower price, with higher profit margins,” says Faisal Ghaus, Vice President of Technavio.
The new report by Technavio also emphasizes the sustainability of packaging, which is a major aspect being pursued in the private-label food and beverages market in the US.
Market Scope and Calculation of Market Size
The new Technavio report covers the present scenario and growth prospects of the private label food and beverages market in the US from 2015-2019. The report considered revenue generated from sales of the labels manufactured by vendors for packaging of food and beverage products to calculate the market size.
Key Information Covered in the Report:
- Key Retailers:
- Costco Wholesale
- Trader Joe’s
- Market Growth Drivers:
- Low investment and high profits
- Market Challenges:
- Safety concern for products
- Market Trends:
- Increased usage of digital media