The Growth of Private Label in the European Food Market
Private label products have overcome their low cost, low quality image in recent decades and have evolved into innovative brands that compete with national and global products. This thesis examines the causes and consequences of this transformation, focusing on consumer perceptions, retailer and manufacturer strategies, supply chain challenges, and market trends. The research includes a comprehensive literature review, interviews with industry experts, and data from field observations conducted at the PLMA trade fair. The findings indicate that European consumers are increasingly trusting private labels. They are particularly preferred in premium, organic, and plant-based categories. Retailers are also increasingly choosing private label products for reasons such as higher profit margins, lower supply chain risks, and enhancing customer loyalty by enhancing store image. Manufacturers have also begun to utilize dual branding to maintain their competitiveness. This study contributes to understanding how private labels are impacting the future of food retail in Europe.
