<p>By: Tom Cosgrove, Director, Industry Relations, FMI</p><img sf-custom-thumbnail="true" src="https://www.fmi.org/images/default-source/blog-images/private-brands-consumer-sq.jpg?sfvrsn=23409583_1" style="float:right;margin-bottom:10px;margin-left:20px;" sf-size="100" class="-align-right" width="350" alt="Man walking quickly over an illustrated background." sf-constrain-proportions="true" /><p>The momentum for private brands in the past few years has been nothing short of amazing. </p><p>Shoppers have recognized the growing value proposition — from price to quality — and fully embrace private brand items. But there were a few things that weren’t clear until now, which I find especially interesting given my role in supporting FMI’s private brand activities. </p><p>FMI’s latest national consumer survey of nearly 1,500 U.S. grocery shoppers examined how consumers are engaging with private brands from homes to stores. It turns out shoppers can easily name their favorite private brands and products, along with those in their homes — and a large share of respondents did. </p><p>Name recognition and recall for private brands is a big deal because historically manufacturer brands had the upper hand, given their big promotion and advertising budgets. Moreover, not all private brand names include the store banner, which makes it even more notable when shoppers recall the brand names.</p><p>Let me explain a bit more about these illuminating findings, all of which are part of FMI’s newly released report on <em><a href="https://www.fmi.org/forms/store/ProductFormPublic/power-of-private-brands-2025-consumer-trends">The Power of Private Brands: Consumer Trends</a>.</em></p><h5>Yes, Shoppers Can Name That Private Brand! </h5><p>When asked about private brand products in their homes, shoppers frequently emphasized brand names.</p><ul><li>Private brand products can be found in about 90% of grocery shoppers’ homes, according to responses. </li><li>Brands mentioned include Walmart, Kroger, Publix, Equate, Aldi, Target, Costco, Meijer and Amazon.</li><li>In naming their favorite private brand products, many shoppers were able to link the products to specific brands — such as "Good & Gather peanut butter," and "Signature Select pasta."</li><li>Shoppers also pointed to favorite private brand items in general, such as bread made on site, croissants, packaged salad mixes and cream cheese.</li></ul><p>These results indicate how far grocery private brands have risen in the eyes of shoppers. They have moved beyond the stereotypes of "generics" and "copies" to become brands in their own right. All of this has been driven by successful retailer branding and merchandising.</p><h5>Other Key Shopper Insights About Private Brands</h5><p>The research relays a lot more about shoppers and private brands, including the following:</p><ul><li><strong>Engagement Across Tiers: </strong>Shopper feedback illuminates private brand buying across a variety of tiers. Standard and low-price tiers were the top choices, but premium and better-for-you were also strong.</li><li><strong>Millennials Outperform: </strong>Millennials are more likely than shoppers in general to say they have been purchasing more private brands (70% vs 56%). Millennials also are more likely to view private brands as an important factor in choosing where to shop.<strong></strong></li><li><strong>Positive Purchase Outlook: </strong>Almost half of shoppers expect to buy private brands somewhat or much more, compared to 35% saying this for manufacturer brands.</li></ul><h5>The Industry Can Build on the Momentum</h5><p>Our report also covers shopper perspectives on value, taste and trust; key decision-making influences, and unmet needs — along with the latest sales trends from Circana.</p><p>These findings are important because private brand leaders need to stay on top of shopper perspectives in the face of intense competition. They can’t just assume the private brands momentum will continue. I encourage you to <a href="https://www.fmi.org/forms/store/ProductFormPublic/power-of-private-brands-2025-consumer-trends">download</a> the report now to learn more and consider how to incorporate the insights into your planning.</p><p>Meanwhile, look out for our companion report to be unveiled later this year on the latest strategies and perspectives from the private brands industry. </p><p><a href="https://www.fmi.org/forms/store/ProductFormPublic/power-of-private-brands-2025-consumer-trends" class="button">Download the Report Today</a></p>
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