75% of Americans Will Continue to Buy Private Brand After Inflation Subsides

As inflation continues to stress American food budgets, new research from consumer research platform Attest reveals that many consumers now prefer Retail-owned Brands (private brands.) The 2023 U.S. Food & Beverage Trends report surveyed 2,000 U.S. consumers, finding that 58% are “very likely” to buy private brands as opposed to more expensive manufacturer brands, while 27% are “somewhat likely.” Only 4% are “unlikely” to buy private brands.

74% would make the switch from big-name brands permanent, noting they would “definitely” (34%) or “probably” (40%) continue purchasing private brand if the price was no longer a concern. Only 9% wouldn’t keep buying private-label products.

“American shoppers have changed in behavior and have acquired a real taste for private label brands due to inflation’s impact on the cost of grocery and household products,” said Jeremy King, CEO and founder of Attest. “This poses a significant challenge to well-known brands that can’t compete on price and who may end up the losers here as these shifts in shopping habits may be permanent for several important sub-segments.”

In their search for value, shoppers have become long-term fans of Retail-owned Brands. But some are unwilling to make the switch, most likely because they’re still able to afford trusted household brands (29%). 28% report that private brand products don’t taste as good. 25% believe they have lower-quality ingredients.

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By Published On: March 2nd, 2023

About the Author: Christopher Durham

Christopher Durham is the president of the Velocity Institute. Prior to this he founded the groundbreaking site My Private Brand. He is the co-founder of The Vertex Awards. He began his retail career building brands at Food Lion and Lowe’s Home Improvement. Durham has worked with retailers around the world, including Albertsons, Family Dollar, Petco, Staples, Office Depot, Best Buy, Metro Canada. Durham has published seven definitive books on private brands, including Fifty2: The My Private Brand Project and Vanguard: Vintage Originals.