Private Label Across Europe: 2024 Figures Show Another Successful Year
Europe's private labels: a growing force in retail
Smart carts point to bigger baskets, but with a caveat

Smart shopping carts could be becoming more than a convenience tool. New research from Bayes Business School, based on 12,418 shopping trips at a major German supermarket chain, found that customers actively using smart-cart features spent an average of €30.18 per visit, versus €22.89 for non-users, a difference of 32%. They also bought 25% more items and spent 23% longer in store.

The numbers are striking, but they do not prove that smart carts cause higher spending. Users may already differ from other shoppers. The study also found that more digital interaction is not necessarily better: among “superusers”, basket value and promotion conversion eventually declined.

One finding may be particularly relevant for grocery strategy. Shoppers who uploaded a shopping list bought fewer items, but those items were of higher value, and they completed their trips faster, while remaining receptive to relevant promotions. The opportunity, therefore, may lie less in maximising screen interactions than in making them useful.

Across Europe, smart carts are moving from isolated experiments towards a broader retail test. Carrefour has piloted connected carts in France, while Monoprix and Franprix have also trialled intelligent trolleys in Paris. In Germany, Kaufland is currently testing smart-cart technology alongside its K-Scan self-scanning system, while Morrisons has become the first UK retailer to trial Instacart’s AI-powered Caper carts. Colruyt, meanwhile, is expanding its proprietary Smart Cart trial across Belgium.

The real opportunity seems not simply to be about putting more technology into the shopping journey, but about making that journey feel more intuitive, useful and personal. If smart-carts can genuinely help shoppers discover, decide and buy with less friction, they could become a powerful new interface between the physical store and the digital experience.

Retail AI's move from experimentation to deployment promises better profits

Artificial intelligence is moving rapidly from retail experimentation to a source of competitive advantage across Europe. The 2026 report Rewiring Retail in Europe: The AI Imperative, from McKinsey & Company and EuroCommerce, estimates that end-to-end AI transformation could unlock €240–320 billion in economic value for European retail over the next five years, equivalent to a potential four to ten percentage points improvement in operating profit.

For retailers, the implications are particularly tangible. The report identifies pricing, promotions, assortment optimisation and supplier negotiations among the highest-value AI applications. Yet these commercial areas remain relatively underfunded: just 15% AI investment is concentrated in the commercial domain.

AI is also expected to reshape demand forecasting and supply chain management, enabling more accurate decisions around inventory, ranges and product availability. Combined with richer consumer data, this could accelerate the development of more targeted assortments and reduce waste and inefficiency.

The report highlights the emergence of “agentic commerce”, in which AI systems increasingly discover, compare and potentially purchase products on consumers’ behalf. With 61% of European consumers already using AI for product discovery and evaluation, product visibility may increasingly depend on how effectively brands and retailers make their ranges understandable to AI systems.

The next phase is therefore likely to be less about AI pilots and more about rewiring organisations around measurable applications. Those best placed to benefit will be companies that connect AI with data, commercial decision-making, supply chains and human expertise.

Amazon’s European ambitions remain fixed on online delivery vs stores

Amazon’s latest European investment plans suggest that grocery remains firmly on the agenda, but its strategy is increasingly centred on online delivery rather than physical stores.

In June, Amazon announced more than €10 billion in additional investment in its European fulfilment network, on top of the more than €60 billion that it invested in the region in 2025, with robotics and automation at the centre. The next-generation Proteus robot, Vulcan picking technology and the new STARK system are designed to increase warehouse efficiency and reduce physically demanding work. Amazon also plans to add 25,000 fulfilment-centre jobs across Europe.

For grocery, the significance lies in what this infrastructure can enable. Amazon has been expanding rapid delivery while building a model that combines groceries with the rest of its vast product catalogue. In the UK, customers in parts of London can now add fresh produce, meat, dairy, bread and frozen food to conventional Amazon orders for same-day delivery. The company is also expanding partnerships with grocery retailers including Iceland, Morrisons and Co-op.

Germany is developing along a similar platform-based model, with Amazon offering same-day grocery shopping through Amazon Fresh and third-party supermarket partners.

This matters beyond delivery speed. Grocery is particularly attractive because consumers shop for food frequently, creating regular opportunities for repeat purchases and customer engagement. 

The bigger question is not whether Amazon will become Europe’s next supermarket chain. If Amazon can make online grocery sufficiently convenient and economically viable, to become a more routine part of European shopping behaviour, its role in the food ecosystem could become considerably more significant than its current grocery presence suggests.

GLP-1 pills portend new phase of disruption in European grocery

The arrival of oral GLP-1 weight-loss treatments could take the impact of appetite-suppressing medicines on European food and drink markets into a new phase. The EU approved Novo Nordisk’s once-daily Wegovy pill in July, making it the bloc’s first authorised oral GLP-1 for weight management. Germany became the first EU country to launch it on 1 September, following launches in the UK and US earlier this year.

For grocery, the significance is not simply that another weight-loss treatment has reached the market. Tablets could make GLP-1 treatment more accessible and convenient for many consumers, potentially widening the population whose eating habits are affected by appetite suppression.

Early evidence suggests the resulting changes to grocery shopping may be subtle rather than disruptive overnight. A Danish study analysing more than 1.9 million supermarket purchases found that consumers starting GLP-1 treatment made modest shifts towards lower-energy, lower-sugar and lower-saturated-fat purchases, while protein content increased.

That points to a gradual evolution in grocery baskets rather than the sudden disappearance of major categories. Consumers may buy less overall, but the composition of what they do buy could change. Foods offering protein, fibre, nutritional value and convenience may become more relevant, while categories heavily reliant on impulse purchasing or frequent snacking could come under pressure.

At the same time, there may be an unexpected premiumisation effect. If consumers are eating less, they may become more selective about what they choose to eat, potentially favouring better-quality or more indulgent products for occasions when they do want a treat. The impact on grocery could therefore be less about "diet food" and more about a shift in the value consumers attach to individual eating occasions.

The effects may also extend well beyond the supermarket aisles. Research among GLP-1 users in several European markets has highlighted demand for products addressing hydration, digestive health, vitamins, skincare and haircare, reflecting some of the wider needs associated with weight loss and treatment.

This makes oral GLP-1s significant not because they create an entirely new food market, but because they could accelerate changes already under way in how consumers think about eating, health and value. For European grocery manufacturers and retailers, the challenge will be to identify which of these behavioural shifts represent lasting changes in demand and which are simply a consequence of the current weight-loss trend.

As oral treatments become more widely available, GLP-1s could increasingly influence the food market indirectly, reshaping what consumers prioritise even when the majority of shoppers are not taking the medicines themselves.

The battle for Żabka: Couche-Tard wins, but the interesting part is what happened next

For a few weeks this summer, Żabka became one of the most intriguing prizes in European convenience retail. First, Japan’s Seven & I, owner of 7-Eleven, explored taking a stake. Then, on 25 July, it walked away, saying it could not reach a deal in the best interests of shareholders. 

Six days later, Canadian convenience giant Alimentation Couche-Tard, owner of the global Circle K network, moved decisively, agreeing to acquire Żabka for around US$8.6 billion. Shareholders representing about 57% of Żabka have backed the transaction, making Couche-Tard the clear winner of the contest, subject to regulatory and other closing conditions. 

The attraction is easy to understand. Żabka has more than 13,000 compact stores across Poland and Romania, around 4.3 million daily transactions and a digital ecosystem that reaches more than 11 million users. But what makes the chain particularly interesting is how deeply technology is embedded in the physical store proposition. Data and AI are used to support assortment, pricing, location decisions, logistics and personalised customer communication, while the Żappka app connects promotions, loyalty and services with the store experience.

Then there are the more visible innovations. Żabka operates autonomous Nano stores, using app- or card-based access and self-service technology to put small-format convenience into locations such as offices, gyms and hospitals. The group describes itself as Europe's largest chain of autonomous stores.

The result is a convenience model in which the shop is increasingly just one part of a broader digital ecosystem. That combination of dense physical coverage, sophisticated data use, loyalty and experimentation is arguably what makes Żabka such an unusual and valuable retail asset and gives Couche-Tard considerably more to work with than simply another network of convenience stores.

For Couche-Tard, the deal brings immediate scale in Central and Eastern Europe. For Żabka, the bigger question is whether its distinctive Polish formula can continue to flourish under new ownership. And that may be the most important implication for European retail: Żabka is not simply being bought for its stores. It is being bought for its operating model.

A first: 3D printing moves into supermarket construction

A supermarket currently under construction in Neubulach, Germany, is being billed as the world's first full-scale supermarket built using 3D concrete printing.

The 1,700 m2 site will feature more than 1,300 m2 of printed wall area, with around 292 cubic metres of concrete used. The structural wall shell was completed in around four weeks, with mobile printers producing walls up to seven metres high. Conventional elements, including columns and ring beams, are incorporated alongside the printed structure.

The project, which will become a Netto Marken-Discount store, also combines 3D printing with Heidelberg Materials’ evoZero near-zero cement, produced using carbon capture and storage. The captured CO₂ from the cement plant in Norway is permanently stored beneath the seabed.

The development points to a potential new approach to supermarket construction, particularly where retailers need standardised buildings delivered quickly while reducing the carbon footprint of the construction.

Private label in Europe yet to hit its ceiling

European private label continues to strengthen its position on supermarket shelves, and the latest outlook suggests the trend is far from over. According to a September 2026 report from RaboResearch “There is no stopping European private label - for now”, private label is still gaining ground across European food retail, even in markets where its share is already approaching 50%.

In 2025, private label volumes in Western Europe grew on average twice as fast as branded products. Its value share increased by a further 0.2 percentage points, while the gains made since 2021 have exceeded those achieved during the previous decade combined.

Price sensitivity has clearly played a role, particularly after food prices rose by more than 30% in many countries since 2021. But RaboResearch argues that the private label story is much broader. The expansion of hard discounters, greater retail concentration, stronger retailer commitment and increasingly sophisticated private label suppliers are reinforcing one another.

The next phase may be particularly interesting. Retailers are using premium private label ranges to bridge the gap between mainstream own label products and established brands. This gives private label a role not only as the affordable choice, but also as a vehicle for quality, differentiation and innovation.

RaboResearch estimates that the average private label value share in Western Europe could reach around 44% by 2030. Looking further ahead, its theoretical analysis suggests mature markets could approach 60% by 2050.

For brands, the report is not all bad news. But defending share will require stronger premiumisation, innovation and distribution. The competitive bar has clearly risen.

Linking notebooks & nutrition: How grocers are leveraging the Back-to-School rush

European grocery retailers are increasingly shifting their autumn strategies, placing greater emphasis on private label fresh produce to capture the high intent back-to-school shopping window. By swapping conventional stationery promotions for interactive nutrition campaigns, major chains are embedding their private label lines directly into daily family routines.

In the Netherlands, Albert Heijn expanded its child-focused footprint by launching the "AH Hamsterchef" range. The supermarket paired these healthy private label lines with its "Diskeyz" Disney loyalty collectible campaign, which features engaging fruit and vegetable facts on the packaging to make healthy choices interactive for young shoppers. Concurrently, Lidl Netherlands rolled out its "Snackpret" ("Snack Fun") initiative, providing parents with simple, five-ingredient blueprints to transform basic private label fruit and vegetables into playful shapes.

Meanwhile, institutional engagement is driving volume growth elsewhere. Lidl Ireland committed a €150,000 investment into its "Lidl Foodies" curriculum, bringing fresh food education directly into primary classrooms to target over 30,000 children. In Belgium, Colruyt Group scaled up its private label Boni brand with portion-controlled options specifically tailored to toddlers and preschoolers. To help parents worried about high prices, Carrefour Belgium and Carrefour France froze prices and offered special deals where fresh snack options cost less than one euro.

Taken together, these initiatives point to a broader shift in how retailers are approaching the back-to-school period: using seasonal campaigns not only to drive short-term engagement, but also to strengthen the role of fresh produce within their wider private label strategies. By linking health, convenience and family participation, supermarkets are turning a traditionally promotional moment into an opportunity to reinforce longer-term category value.