Private Label Now Accounts For 38% Share Of European Grocery Sales: Circana

By Steve Wynne-Jones
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Private Label Now Accounts For 38% Share Of European Grocery Sales: Circana

Private label now accounts for 38% of total FMCG value sales across Europe, equating to about €229 billion in spend, according to Circana's latest FMCG Demand Signals report.

The report, which measures sales in the six largest markets in Europe – France, Italy, Germany, Spain, UK, and the Netherlands – notes that private label is 'outpacing the popularity' of national brands across almost all categories.

According to the report, the highest private-label penetration of the six markets is seen in Spain (47%) and Germany (41%), while the lowest is in the UK (37%).

'Investment Paying Off'

"Retailer investments are paying off as more consumers perceive private labels as being innovative and as good or better than many of the national brands that they compete with," commented Ananda Roy, global SVP, strategic growth insights, Circana,

"As a result, they are no longer the ‘cheap’ alternative. Shoppers buy them because they offer something new and of good quality.”


Circana's report also found that private brand 'loyalists', aka those that say they are loyal to private-label products, now equals those that say they are loyal to national brands.

'As Good As National Brands'

Some 60% of shoppers surveyed said that private labels are 'as good' as national brands in areas such as innovativeness, quality, delivering on claims, sustainability, and good image, while a quarter thought private labels were 'better' than national brands in these areas.

Elsewhere, 21% of 'undecided' consumers who buy both - many of whom fall into the middle-income cohort - said they now think private labels are better than national brands.

“Shoppers enjoy discovering new products and experiences from private labels, telling others about them as it makes them feel better informed, and getting a smart deal that is ultimately a good value without compromises," Roy added.


"Retailers have gained more loyalty and share as a result, which could change the shape of grocery retail in the future.”

Circana's FMCG Demand Signals report measures more than 230 FMCG categories, 2,000-plus product segments and over 10 million SKUs.

Read More: Unit Sales Decline 1.1% Across European Markets Amid High Inflation: Circana

© 2023 European Supermarket Magazine – your source for the latest Private Label news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.

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