The Power of Smart Choice: How Private Labels Are Gaining Ground in the Global Market
A silent yet forceful shift
Private labels, also known as store brands or house brands, are shedding their image as a budget option to become true protagonists of consumer behavior. According to the recent NielsenIQ report, Finding Harmony On The Shelf: 2025 Global Outlook on Private Label & Branded Products, consumer perception of these brands is more favorable than ever.
Nearly 6 in 10 U.S. consumers (59%) said they would buy more private label products if there were greater variety on the shelves. This reveals a clear opportunity for retailers: expanding their own-brand offerings could directly translate into higher sales volumes.
🔥 1. Data for Retailers and Decision-Makers: Private Labels Outperform National Brands
“In 2024, private label wine sales in U.S. supermarkets grew by +7.3%, while national brands declined by -3.8%, according to NielsenIQ.”
✅ Why it works: shows momentum and urgency to adapt.
🔥 2. Shift in Consumer Behavior
“A recent IRI survey reveals that 68% of wine consumers are open to trying exclusive supermarket brands, especially when the packaging and pricing convey quality.”
✅ Why it works: reinforces that today’s consumers are not dependent on well-known brands.
🔥 3. Margins That Matter
“Retailers report margins of 35%–45% on private label wines, much higher than the average 25% margin on national brands.”
✅ Why it works: buyers value profitability more than volume.
🔥 4. Category Disruptors on the Radar
“Chains like Trader Joe’s and Aldi continue to dominate the value wine segment — with private lines like Winking Owl and Exquisite Collection among the best-selling in their regions.”
✅ Why it works: creates FOMO and competitive pressure.
🔥 5. Premiumization of Private Labels
“Growth is not limited to the budget segment — private label wines priced over $15 are seeing double-digit growth, signaling strong consumer confidence.”
✅ Why it works: proves this is not just about cheap wine — the perception of quality is shifting.
Quality, Price, and Trust: The Pillars of Growth
The study also showed that 75% of respondents believe private labels offer good value for money, while 72% see them as valid alternatives to traditional brands. In other words, it’s no longer just about saving money: consumers now recognize that quality also exists in private label products.
Additionally, 59% of consumers trust these brands because they are backed by the retailer itself. This trust spans generations — from 55% of Gen X to a notable 63% among Millennials.
Retailers Innovate and Take Control
Steve Zurek, Vice President of Thought Leadership at NIQ, highlights that private labels are no longer generic or boring. Retailers are applying national brand marketing strategies to create appealing, well-designed products with their own identity. This change in approach has set a new quality standard that challenges many traditional brands.
The impact is clear in the numbers: while annual private label product sales grew by 4.1%, top national brands grew only between 1.7% and 2.4%, depending on their market positioning.
A Price Advantage Impossible to Ignore
One of the strongest arguments in favor of private labels remains the price. On average, national brand products sell for 19% more than their private label counterparts. The differences are even more striking in categories like health and beauty (+57.8%), home care (+42.3%), and paper products (+39.9%). Even in sectors like alcohol, the gap persists (+3%), indicating that the trend spans virtually all areas of daily consumption.
9 Fairway: The Elegance of a Private Label with Character
In this context of sustained private label growth, 9 Fairway stands out as a hallmark of quality, differentiation, and trust. This wine, developed under a private label concept, combines top-level winemaking techniques with an elegant and modern aesthetic. Ideal for those seeking a premium alternative without overpaying, 9 Fairway not only competes with traditional brands — it challenges them.
Its growing presence in specialty stores and supermarkets signals a clear trend. Because today, choosing a private label is no longer just an economic decision — it’s also an act of sophistication and intelligence.
Source: https://storebrands.com/consumer-trust-private-label-offers-growth-opportunities
At Toral Wines & Spirits, we partner with retailers and importers to create premium private label wines — from vineyard to point of sale.
Let’s build something unique together, with highly flexible production minimums.
Contact us to get started: [email protected]
