U.S. private-label brand sales increased 6 percent year-over-year in 2023, according to a report from Circana.
Last year in the U.S., private-label brands generated $217 billion in sales. Private-label unit sales have risen by .9 percent year-over-year. Private-label gained share from name brands rose to 25.5 percent in 2023, up from 24.7 percent in 2022.
Millennials and Gen Xers without children lead private-label food and beverage brands sales, making up 36 percent. Families with children make up 35 percent. More than one third of core pantry food and beverage were private-label brands. While rising at a slower pace than food and beverage, nonedible private brands were up 5.1 percent in 2023.
“Private brands are increasingly capturing market share from name brands, experiencing growth in both dollar sales and units,” Mary Ellen Lynch, Principal of Center Store Solutions at Circana, said in a statement. “This trend is driven by consumers, particularly those with children, as well as millennial and Gen X households without children, who are strategically employing a variety of methods to stretch their dollars amid high inflation.”
