US consumers to stick with own-label

17 June 2009

NEW YORK: Some 91% of American consumers will continue to buy own-label brands at the end of the downturn, while just 8% plan to purchase fewer of these products when the recession comes to a close, GfK and the Private Label Manufacturers Association have found.

The two organisations' Store Brands and the Recession report was based on a survey of 800 shoppers in the US, 90% of whom believed that private label goods are either of the same or better quality than their more expensive counterparts.

A further 55% of respondents agreed they "frequently" bought store brands, with 35% doing so "occasionally" and 8% arguing they "rarely" did so, while only 2% "never" opted for these products.

With regard to the impact of the financial crisis on their purchase decisions, 54% of those surveyed felt the downturn was playing an "important" role, while 32% said it was "very important."

Over a third of contributors have also begun to buy store brands in product categories where they had previously only used national brands, and 30% has increased their uptake of own-label compared with a year ago.

Data sourced from Marketing Charts; additional content by WARC staff