Private-label items grew 1% to an all-time high of $199 billion in 2021, according to Private-label Manufacturers Association (PLMA).
In 2021, private-label products experienced ups and downs, ending the year with a near-flat performance. The food and beverages category saw the highest gains to private-label/store brands. With a 17.1% growth in the deli-prepared segment, followed by bakery (12.4%), and produce (11.4%).
Private-label brand dollar sales grew 12.3% in 2020 owing to the pandemic. Dollar sales, however, significantly dropped in 2021, with only 10% and 7.7% growth in January and February, respectively, as dine-in restaurants and food services recovered.
Store-brand sales increased at least 6% in September, November, and December. General product sales for private-label grew 1.7%, while health items fell 0.2%, home care products and tobacco dropped 10% and 10.5% respectively. As Omicron variant cases drop, Cowen Research predicts consumer "optimism around spend and mobility."
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