Tom Pirovano, Director, Industry Insights

For the past several months, we’ve seen sales for U.S. store brands grow at unprecedented rates with annual sales of $85.5 billion, up by $13.6 billion (+19%) vs. just two years ago. (Nielsen Grocery/Drug/Mass including Walmart). At first, this growth was driven by higher prices for milk and other commodities. Then the economy got even worse, and many just assumed that shoppers were switching from national brands to store brands to save money.
But what about the other factor we sometimes forget to mention? Could it be …

 Tom Pirovano, Director, Industry Insights

Health Claims – “Now with More Calcium”, “Good Source of Antioxidants”, “Natural”, “Made with Real Sugar”.  First look for claims you can make without reformulations.  Then consider adding nutrients to add perceived value. 
Unique Packaging – Consider Dean Milk Chugs in a category dominated by private label.  Older shoppers may appreciate packaging that easier to open, easier to re-seal, and easier to read without glasses.
Line Extensions – Look at the soda category with only 6.1% private label share.  Every year we see many new soda flavors, but …

Sales of private brands are up 10% this year — to $80.3 billion in the U.S., Nielsen reported Friday.
Private label dollar sales are being driven primarily by higher commodity pricing — especially in staple categories that are dominated by private brands. But in recent weeks, private label unit sales have also grown — a sign that consumers are starting to shift away from established brands in search of better deals.
Among private label food brands, flour (+35%), baby food (+33%), and fresh eggs (+28.2%) showed the largest dollar percent change during …