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White Label World Expo

24 Apr 2025

The Rise of Private Label: A Shift in Consumer Perception and What It Means for Providers

Liz Ainger

Did you know that 66% of consumers now say private label products are as good as, or even better than, national brand alternatives? 

This is a significant shift in the retail landscape, one that presents a tremendous opportunity for private label product providers.

A Changing Perception

For years, private label products were associated with being more affordable but lower in quality. Shoppers often selected them out of necessity or to save money, viewing them as inferior alternatives to national brands.

However, that perception is rapidly changing. Today’s consumers are becoming more discerning, placing a higher value on quality, transparency, and trust. 

Many are now actively choosing private label products, with many even stating they have no intention of returning to national brands. Private label is no longer just about affordability—it’s about delivering on quality, performance, and reliability.

This transformation opens the door for private label product providers to position their offerings as premium alternatives, capable of meeting the evolving demands of today’s brand-conscious consumers.

The Growing Demand for High-Quality Private Label Products

As consumer expectations continue to rise, the demand for high-quality private label products has never been stronger. Retailers are being pushed to improve their private label offerings, moving away from the "budget-friendly" stereotype and towards products that deliver real value, innovation, and quality.

For private label providers, this presents a significant opportunity. The market is no longer just about competing on price—it's about creating products that resonate with consumers who are increasingly willing to choose private labels for their superior value. 

Whether it's in the grocery aisle, beauty counters, or household goods, private label products that deliver high-quality, well-designed alternatives to national brands are increasingly in demand.

Leading retailers are already tapping into this shift. Brands like Costco’s Kirkland, Target’s Good & Gather, and Trader Joe’s have proven that private label can drive customer loyalty and offer products that consumers trust and actively seek out. 

These retailers have demonstrated that private label products don’t just compete—they lead in many categories by offering quality that rivals national brands, and in some cases, even exceeds them.

Private Label as a Premium Alternative

For private label providers, this presents an exciting opportunity to elevate their products beyond the "cheaper option" mindset and position them as premium alternatives. Many consumers are now actively looking for private label products that provide the same quality—if not better—than the national brands they once trusted.

This shift is about more than just competing on price—it’s about building a brand identity that resonates with today’s consumer. Consumers increasingly see private label as a trusted option, especially when those products offer better value, quality, and align with their personal values (such as sustainability, health-conscious choices, and ethical sourcing).

Why the Shift in Consumer Behaviour?

So, what’s driving this change in consumer behaviour? 

Several key factors are contributing to the growing popularity of private label:

  • Quality and Value: Consumers are no longer settling for less. They want high-quality products at a competitive price, and many private labels are now meeting or exceeding these expectations.

  • Increased Brand Loyalty: When private label products consistently deliver on quality, consumers develop a stronger sense of loyalty to the store or brand offering them. This loyalty translates to repeat purchases and word-of-mouth recommendations.

  • Transparency and Trust: Today’s consumers want to know where their products come from and how they are made. Private label brands are responding to this by offering more sustainable, ethical, and transparent sourcing practices, which resonate strongly with modern shoppers.

  • Innovation: Retailers and private label providers are continuously innovating to meet evolving consumer needs. From health-conscious products to eco-friendly packaging, private label brands are setting trends rather than following them.

  • Stay Updated with Industry Insights

    As the industry continues to grow, it’s essential for providers to stay informed about the latest trends, innovations, and consumer expectations. 

    At White Label Expo we’re dedicated to keeping you up-to-date with the most current insights in the retail and ecommerce industry, helping you stay ahead of the competition.

    We post updates, trends, and industry analysis to ensure that private label product providers can make informed decisions and tap into the expanding market.

     Whether you're looking for sourcing strategies, marketing tips, or consumer behaviour insights, our platform offers the resources you need to grow your business.

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