Brands Reclaim Some Share Lost to Private Label
National food brands were able to eke out a minor share gain (0.2 percent) at the expense of private label in a year-over-year comparison for the four weeks ending Sept. 5, according to Citigroup.
The shift represented the first time that national brands have taken share from private label going back to late in 2006. Share gains were calculated on dollar sales from Nielsen scan data and do not include numbers from Wal-Mart Stores.
“Sales and volume trends for branded food manufacturers have been strengthening, while private-label sales and volume trends have lost steam the past several months,” David Driscoll, an analyst with Citigroup, told MarketWatch.
Discussion Questions: Do the numbers released by Citigroup indicate to you that national brand share erosion to private label may be coming to an end? Do you think most national brands can reclaim share without lowering everyday pricing or regularly promoting at sharp price points?