Private label products can be found in the pantry of nearly every Canadian home, but who buys private label products occasionally and who buys them on a regular basis? New analysis from The Nielsen Company identifies the heaviest private label buyer and finds that the face of today’s private label consumer is changing.
Insights on the Private Label Consumer
"Not only is it critical for retailers to know who is buying private label today, but also who will be the primary private label buyers in the future," said Carman Allison, director of Industry Insights, Nielsen. "As the face of the private label consumer evolves along with general demographic trends to smaller, older, higher income households, retailers need to make sure they are planning for the future by innovating to meet the needs of tomorrow's private label consumer. This could mean an increased focus on smaller sizes or portion-controlled products, health and wellness offerings such as low fat or low sodium, and premium offerings to attract higher income consumers."
Insights on the State of Private Label in Canada
“The battle of the brands continues,” said Allison. “Despite the economic downturn, Canadians did not switch from national brands to private label products. National brands are meeting consumers’ needs for value by driving more sales through feature pricing while private label increased prices at a higher rate, narrowing the shelf price advantage. That said, Canadian retailer concentration is increasing, with the top five retailers representing the majority of the grocery trade. This translates to increased private label development.”