Private label or white label brands have already taken over more than half of Spaniards’ shopping basket, specifically 51.1% in July 2024 in terms of volume. These are the data from Kantar Worldpanel revealed in the Private Label Report presented by Aldi. The market share of these products has increased by almost three percentage points in two years, driven by price increases caused by inflation and the rise in raw materials.
In value, the own brand of supermarkets is growing more, gaining four percentage points compared to 2022, now representing 43.7% of the Spanish shopping basket.
Taken together, the growth of private label brands, both in value and purchase volume, surpasses that of the rest of the market (excluding fresh products). For instance, in sales, private label brands increased by 8.5% compared to 5.4% for the rest of the food categories in the last year. In terms of volume, supermarket brands rose by 3.4%, while the rest of the categories only saw a 0.3% increase.
This growth is also hardly recoverable for national brands because, according to this study by Aldi, 77% of consumers who try a private label brand and like it, do not return to national brands. Going further, 84% of customers who have this positive experience are encouraged to continue trying the private label range.
77% of consumers claim that if they try the store brand and like it, they do not go back to the manufacturer
According to the report, there is a widespread acceptance of white label products in Spanish territory, with southern regions showing a greater preference for supermarket own-brand products compared to those in the northern region. The autonomous communities with the highest consumption of white label products are Murcia, Andalucía, and Extremadura. In these areas, six out of every ten euros spent on groceries are for distributor brands. On the other hand, Galicia, the Basque Country, and Asturias are the autonomous communities where these products have less weight in the shopping basket, accounting for between 41% and 44% of the market share. Catalonia, on the other hand, falls in the middle range, with a 49.7% market share.
Not all categories behave the same way. Household disposable products are the ones that market the most white label brands, accounting for a 77.2% share. It also achieves over 70% of the market in cleaning products and dairy derivatives.
On the other hand, where private label brands are less appreciated is in beverages (31.3% market share), baby products (38.5%), and perfumery and hygiene (40.4%). According to this report by Aldi, in terms of volume, private label brands have gained market share compared to last year in 9 out of every 10 product categories. Particularly noteworthy is the growth experienced in milk and milkshakes, where they have gained 4 percentage points of market share; detergents, where they have increased by 3.6 percentage points, baby products (3.1 points), and cheeses (three percentage points increase).
Due to the growth experienced in recent years, Spain is positioned as one of the European countries with the highest consumption of private label products, with a 48.5% market share. This represents nine percentage points more than the European average and would place Spain above Germany, which ranks second with a 42.9% market share in private label value. Following them are the Netherlands, with a 41.3% market share, and the United Kingdom, with a 37% representation of private label in the shopping basket. At the European level, supermarket own brands have increased by 5.7% in sales and 2.4% in volume in the last year.
