Store brands increasingly popular

The market share of FMCG goods sold under retail chains’ own brands stood at 18.2 percent in 2013, an increase of 1.5 pp. compared to 2012, according to research firm Nielsen quoted by daily Rzeczpospolita. “In terms of value the sales of store-brand products rose by 9 percent year-on-year, while the sales of branded items fell by 2 percent,” said Tomasz Krysiak, senior consultant at Nielsen.

 

As many as 22 percent of consumers purchased more store-brand products in 2013 than a year earlier. Over a half of those polled said the main reason for choosing store-brand items is their low price. One out of three respondents said they buy such goods because their quality is improving, while 25 percent said they believe the quality of store-brand products is comparable to branded ones.

 

In some product groups the market share of store-brand items has exceeded 50 percent. The leaders in the “store brand” category are smoked salmon and washing machine descaler, each with 65 percent market share.

 

Own brands are the most common in discount chains, where they generate some 75 percent of the stores’ entire revenue.