“Private label is growing faster than mainstream retail and part of the reason is that consumers can save money by switching,” GlobalData managing director Neil Saunders told Axios.

“This has been happening for a long time and the trend might be accelerated if tariffs push up prices,” Saunders said.

The big picture: Store brands are no longer the generic knockoffs of the past. They are a “destination driver” for many retailers, Sally Lyons Wyatt, global executive vice president and chief industry adviser at Circana, told Axios.

Private brand products cost 20% less than national brands, Lyons Wyatt said.
The price gap between private label and national brands has grown by 38% since 2019, according to data firm Numerator’s Private Label Perceptions report.

State of play: Store brands aren’t immune to tariffs, but large retailers have more control to minimize the impact because they have better leverage to negotiate terms with suppliers and reduce production costs.

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