Store brands, also known as private label products, are surging in sales in the European grocery and household markets. According to research by Europanel, several European retailers reported over 40% of existing sales being credited to private label brands. Can the US markets also experience such enormous growth? Predictions of increasing market share look very promising.

The introduction of store brands began in the 1980s capturing a small percentage of the market. These products did not start out with the best of results. Product quality was inconsistent, packaging was lackluster, and overall appeal was uninspiring.

Fast forward twenty years later to a market of expanding growth potential here and abroad. Retailers and customers alike are enjoying the benefits of store brand products. Retailers have raised the bar in product quality and packaging development, making their products very marketable in the current retail landscape. For 2009, The Neilsen Co. reported 21.8% of unit volume sales being attributed to store brand products while only comprising 10% of items in store. Opportunity for growth in the private label market is wide-open. Wise advice for retailers desiring future market share…ready, set go!

This entry was posted on Thursday, April 8th, 2010 at 1:29 pm and is filed under Blog. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.