The report shows that retailers’ Private Label (PL) share is still rising across Europe with an average value share of 35.6% and a unit share of 45.1%. The highest country value share is in the UK at 50.5%.
In Greece, PL has doubled its market share by value over the last five years to 14.3%. Even in France, where shoppers are less price-sensitive and national brands (NB) are still driving value sales growth in almost every category, consumers are beginning to switch to PL in larger numbers.
An increase of 0.2% drives the value share of PL in France to 30.0%. Germany, with its strong economy, is the only country where NB are also driving unit sales. Although in other countries, PL sales are down in certain categories.
The way PL is perceived by shoppers has changed. The quality, variety and range of products is improving, retailers are awarding PL more prominence in-store to secure greater margins at the expense of small and mid-ranking NB, and they are spending more on marketing to reiterate that buying PL does not mean compromising on quality.
Manufacturers are responding to the continued growth of PL with clever promotion and pricing strategies, the re-engineering of lines and the launch of new variants. They are also spending more time developing and adjusting their portfolio and how they approach individual retail chains.
Source: SymphonyIRI Group
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