The Importance of Private Brands: A Key to Retail Success

December 16, 2024           5 minute read

In today’s competitive retail landscape, differentiation and value are key to success. As the market evolves, retailers are increasingly turning to private brands to stand out and foster shopper loyalty. In fact, sales of private brands reached a record 23% market share in 2024, and according to the Private Label Manufacturers Association (PLMA), private brand revenue is expected to exceed $250 billion this year.

While economic pressures have spurred some of this growth, the shift in consumer behavior is more profound. FMI’s The Power of Private Brands 2024 report shows 93% of shoppers plan to keep purchasing private brands even after inflation recedes, demonstrating a lasting shift in consumer loyalty.

UNFI’s Comprehensive Private Brands Program

UNFI is focused on helping retailers differentiate and compete through a robust Brands+ program. “With over 4,000 items across eight brands and 700+ organic options spanning 250 categories, our Brands+ portfolio covers every tier, from Shoppers Value to premium natural brands like Woodstock and Wild Harvest,” says Angie Balian, UNFI’s Chief Brand Officer.

For value-driven consumers, UNFI’s Shoppers Value and Essential Everyday brands offer affordable options, with Essential Everyday products providing an average of 25% savings over national brands. Meanwhile, natural and premium brands like Field Day, Wild Harvest, and Woodstock cater to shoppers seeking quality and differentiation. Notably, Woodstock is now the #2 Organic Grocery and Frozen brand in the Natural Independent Channel, exemplifying its strong appeal with consumers.

Retailer Success and Lasting Shopper Loyalty

UNFI’s trend-driven innovation pipeline enables retailers in its network to consistently offer fresh, differentiated products across every tier, meeting the diverse needs of their shoppers and helping them to stand out and build lasting customer relationships.

Bob Ames, General Manager for Sherm’s Thunderbird Markets, shared: “One of the biggest things about UNFI is their super strong private brands program. Our customers are always seeking value, especially in this economy, and UNFI's private brands pricing and item availability allow us to stock the broad selection our shoppers need.”

Tamira Franz, Senior Procurement Director at Mollie Stone’s, emphasized how UNFI’s private brands program drives shopper loyalty and satisfaction. “UNFI does a great job of understanding our needs for variety and innovation,” Franz said. “Thanks to their private brands program, we can offer our shoppers a wide range of quality products that keep them coming back to our stores.”

Driving Retail Success Through Insights and Quality

UNFI goes beyond providing unique and differentiated products. Through its Known Value Items (KVI) program, UNFI helps independent retailers stay competitive by lowering costs on 200 private brand items across 12 core categories. Additionally, marketing toolkits and tailored private brand strategies support each retailer’s unique needs, backed by insights and analytics to drive margin and elevate retailer brand perception. 

As consumers seek unique products and a differentiated shopping experience, private brand offerings allow retailers to meet these demands while also promoting value and fostering shopper loyalty. Embracing private brands not only allows retailers to remain competitive, it also positions them for continued success in a rapidly evolving industry.

“With UNFI’s commitment to delivering a superior experience and a portfolio of diverse products, we’re dedicated to helping our retail partners thrive.”- Angie Balian, UNFI’s Chief Brand Officer