Over the past year, as global events, weather catastrophes and economic volatility have unsettled consumers, they have increasingly turned to more modestly priced “little luxuries” for comfort and a reward. Younger generations, especially Millennials and Gen Z, are taking the lead, looking for ways to treat themselves without spending a lot, even if it’s only for an ice cream, flavored latte or new lipstick. One publication described it as buying non-luxury items as a reward for small accomplishments or as an act of self-care during stressful times.

This trend has been documented and spread on social media platforms like TikTok, where videos carrying the hashtag #littletreats and related terms have been viewed more than 75 million times as of this writing. And it presents a golden opportunity for retailers to build on the sales momentum of private brands, which grew almost 5% in 2023, to $236.3 billion.

How retailers can elevate their brands into little treats?

The pandemic, with its economic uncertainty, accelerated shoppers’ embrace of private brands. But I would argue that a bigger driver was retailers changing the way they curated, packaged and presented store brands. Little treats are, by and large, impulse purchases, so conveying quality and value at the shelf and in-store is key.

Here are a few things to keep in mind that will give private brands a special feel and convince shoppers that retailer-owned brands are also little luxuries, and worth a splurge.

• Package design. We worked extensively with retailer-owned brands through our Favorite Child unit to develop design strategies and services to retailer-owned brands from Walgreens (Nice! snacks, Modern Expressions household goods), Publix (Publix Premium grocery items, Greenwise organic foods) and others.The package design of products within each of these lines emphasizes simplicity and uses bright colors, interesting shapes, and unusual sizes to stand out on the shelf. Photography is particularly important (one picture…). It offers a visual language that grabs shoppers’ attention and communicates high-quality. Research from Amazon shows that 70% of consumers will choose a product based on imagery alone.
• Messaging. This is the second crucial element for turning private brands into little luxuries. Given the current consumer mindset, messaging that emphasizes enjoyment, sharing with others, celebration, spontaneity, stress release and value will help set retailer-owned brands apart.

Carrying this messaging through to bold in-store displays is another way to help turn everyday retailer-owned products into everyday little luxuries. The messaging should also be echoed in social media campaigns and digital advertising to help complete the transformation.

Unexpected luxuries

As consumers seek satisfaction without compromise, private brands can meet that need with the help of packaging innovations that create stand-out presentations, turning ordinary items into memorable moments of delight. When done right, especially in this time of economic anxiety, they provide shoppers comforting, ways to treat themselves, family and friends to the occasional unexpected luxury.

Peter Boosalis

Vice President of Brand/Package Design, Quad

Currently serving as Vice President of Brand/Packaging Design at Quad, Peter has spent the last 30 years in the branding and packaging arena. Prior to joining Quad as a packaging subject matter expert, Peter rose through the ranks while honing his CPG and own-brand packaging expertise. From agency account service and account management to packaging company ownership, Peter has deep experience in brand positioning, branded package design development, and packaging program management for well-known brands that consumers trust and interact with daily. Always moving forward, Peter firmly believes the industry will continue to evolve through innovations and efficiencies that contribute to bringing better, more impactful packaging solutions to market—for both customers and consumers.