The Field

Private Label Takes the Lead in UK Grocery Retail

Written by Atlante HQ | Jun 24, 2025 9:18:35 AM

The Rise of Private Label

Private label products are no longer the cheaper, second-choice alternative, they're leading the evolution of today’s grocery landscape. With 62% of UK consumers now choosing private label goods for their affordability, and 58% saying the quality matches branded products, the message is clear: shoppers are no longer brand loyal, they’re value loyal.

This growing preference has become a defining feature of post-pandemic grocery behaviour, as consumers revaluate what matters most at the shelf edge: price, quality, and trust. As a result, private label is no longer simply a “good enough” substitute, it’s a strategic advantage.

A Century of Evolution

This is not a sudden shift, but the latest chapter in a transformation over a century in the making. From Sainsbury’s launch of own label teas in 1903 to today’s diverse and premium private label ranges, private label has been quietly expanding its role and reputation. Throughout the decades, economic cycles and consumer expectations have helped shape own-brand offerings. From basic value lines to gourmet, plant based, and health forward innovations.

In 2023, this evolution reached new heights, with own-brand sales in the UK growing at twice the rate of branded goods. Retailers have responded by investing in R&D, improving design and quality, and bringing own label lines to the forefront of their marketing.

Affordability and Quality Drive Growth

Recent data shows that, as of January 2025, private label products account for 52.3% of UK grocery sales. This is a milestone that underscores how deeply embedded own-label goods have become in household shopping routines.

This trend isn’t unique to the UK. According to Circana, private label value sales across major European markets grew by 9.4%, while national brands saw a 3.8% volume decline. Consumers are no longer compromising when they choose private label, they’re embracing it for the value, quality, and relevance it offers.

Retailers such as Aldi have reported strong growth in their premium private label offerings, showing that shoppers are trading both down and up within private label categories. The opportunity lies not just in price, but in meeting evolving lifestyle needs with flexible, well-crafted ranges.

The Untapped Potential of Digital Trust

While in store presentation has improved significantly, many private label ranges still face a challenge online: a lack of product reviews. In today’s digital-first retail environment, reviews are a vital part of consumer decision making. They offer reassurance, comparison, and validation especially when shoppers are switching from familiar branded products.

An analysis by CheckoutSmart of UK supermarket websites revealed that:

  • Branded products consistently outperform private label items by an average of 0.6 stars
  • This ratings gap has widened over the past two years
  • Over 50% of own-label products have fewer than 30 reviews

This gap in digital presence doesn’t reflect a gap in quality but it does affect conversions. When products lack visible, real user endorsements, even satisfied shoppers may hesitate to commit.

Building a Stronger Private Label Future

To maximise the opportunity in private label, retailers must invest not only in product quality, but also in how those products are perceived. That means thinking beyond pricing strategies to consider packaging, positioning, sustainability messaging, and online credibility.

By strengthening digital content and encouraging customer feedback, retailers can close the review gap and build deeper trust with shoppers, driving both engagement and sales. Consumers are ready to buy into private label, they just need the confidence to take the leap.

Atlante: Your Partner in Private Label Growth

At Atlante, we believe private label is more than a value option, it’s a platform for innovation, differentiation, and long-term growth. With over 30 years of experience, we’ve partnered with some of Europe’s leading retailers to shape private label strategies that resonate with modern consumers and deliver consistent commercial performance.

Our strength lies in our ability to combine deep market knowledge with a flexible, end-to-end service model. Whether that’s developing premium lines, responding to evolving dietary trends, or bringing authentic Italian products to market, we are able to support every stage of the journey.

With a robust network of trusted Italian and international suppliers, Atlante is able to offer high quality, scalable solutions across a wide range of categories.

As the private label landscape continues to grow in importance, Atlante is ready to help retailers stay ahead, delivering value, quality, and innovation that strengthens customer loyalty and drives retail success.

Looking to grow your private label range or explore new category opportunities? Get in touch with us today and find out how we can help you build the future of private label.