Store Brands Outperform National Brands in First Half of 2024
- Private brands achieve record highs in unit and dollar share
- Store brand growth outperforms national brands
- Circana data reveals store brands’ success
- Beauty department sees highest increase at 10%
- Refrigerated department declines slightly
Private brands have seen a surge in popularity, with store brand dollar sales up 2.3% and unit sales up 2.5%, outperforming national brands’ 1.1% increase in dollar sales and 0.8% decrease in units, according to Circana data shared by PLMA. The beauty department experienced the most growth at 10%, followed by liquor (8.8%) and general food (6.9%). Refrigerated was the only declining department, down 0.7%. FMI research shows 46% of grocery shoppers plan to buy more private brands in the coming year, compared to 27% for name brands. Recent expansions by Walmart, Dollar General, Grocery Outlet, and Target intensify competition for traditional supermarkets.
Factuality Level: 8
Factuality Justification: The article provides accurate information about the growth of store brands compared to national brands based on Circana data. It also includes quotes from PLMA President Peggy Davies and references research from FMI. The article presents facts and figures related to the topic without any significant digressions or misleading information.
Noise Level: 3
Noise Justification: The article provides relevant information about the growth of store brands compared to national brands in terms of sales and units. It also mentions the reasons behind this trend, such as the expansion of private labels by major retailers like Walmart, Dollar General, Grocery Outlet, and Target. However, it lacks a deeper analysis or exploration of the consequences of this shift on the industry or consumers.
Financial Relevance: Yes
Financial Markets Impacted: The article discusses the impact on companies in the retail industry, specifically supermarkets, mass retailers, and discounters due to the growing popularity of store brands.
Financial Rating Justification: This article is financially relevant as it discusses sales figures and market trends in the retail industry, which can affect the performance of companies in this sector. The growth of store brands may impact the profitability of national brands and lead to increased competition among retailers.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article. It discusses the growth and popularity of store brands compared to national brands in the retail industry.
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