Private Label Across Europe: 2024 Figures Show Another Successful Year
Europe's private labels: a growing force in retail
Kaufland expands “from Europe for Europe”

Kaufland is expanding its online marketplace to two more countries: France and Italy. The Schwarz group subsidiary is currently present in Germany, the Czech Republic, Slovakia, Poland, and Austria. Having tested an online presence only, without physical stores, in Austria since the fall, the company says that it is very satisfied and sees its Austrian website visited by 1 million customer each month.

The two new markets would potentially increase Kaufland’s marketplace reach from 81 million to almost 140 million: 37 million additional potential clients from France and 22 million from Italy. As a reference, Germany is the biggest market with up to 32 million online visitors per month.

The aim of the retailer is to become the largest European platform, thus forming a counterweight to Amazon, Temu and the like. "We are the alternative to global e-commerce giants, from Europe for Europe. With that goal in mind, we are now taking the next two steps – certainly not the last," says Gerald Schönbucher, CEO of Kaufland E-Commerce. He continues: "As a platform that strictly adheres to European rules, we guarantee our customers data and product security. Our commitment to quality and fairness ensures that our customers can shop with a clear conscience and our retailers can sell successfully."

As the new year unfolds, private label continues to dominate in the US

The first quarter of 2025 was a good one for private label in the US. As the products have over the past few years, they dominated national brands by outperforming their counterparts in dollar and unit sales across all US retail outlets, per Circana Unify+.

Private label dollar sales gained 5% and unit sales rose 0.9%, compared to national brands, which were up 0.8% in dollars and down 1.1% in units, during the quarter ending March 23, vs the same period a year ago.

Private label market shares came in at 21.5% for dollars and 23.7% for units, reflecting private label's superior, multiyear performance vs brands. In each of Circana's last 30 monthly reports to PLMA, private labels finished ahead of national brands when it came to results in dollar and unit sales compared to the prior year. 

Amsterdam Show: The biggest event for PL is fast approaching

PLMA is set to host the largest and most international trade show in its history this 20-21 May at the RAI Exhibition Centre in Amsterdam. The 2025 World of Private Label International Trade Show will bring together more than 35.000 exhibitors and buyers from over 125 countries, making it a truly global gathering of private label professionals.

With more than 3,100 exhibitors representing diverse markets across Europe, Asia, North America, South America, the Middle East, and beyond, this year’s event underscores the growing importance and interconnectedness of the private label industry on a global scale. Buyers from all corners of the world, spanning major retailers, wholesalers, e-commerce giants, and distributors, will meet in Amsterdam to explore the latest products, trends, and innovations that is shaping the private label sector.

Prior to the opening of the show floor, on Monday 19 May, there will be workshops and a seminar programme from 13:00-16:00. Keynote speaker is Tim Hehenkamp, Director Category Manager of Jumbo Supermarkets, Dutch second retailer. He  will present the retailer’s vision on the critical role of private label product innovation. Sebastiaan van Deth, Customer Success Consultant at NielsenIQ will give an update of the country-by-country private label market share data. Anne Ravalet, Senior Manager Trends and Innovation at Daymon International will report on the latest and upcoming mega and micro FMCG trends.

With the event just around the corner, now is the time to secure your visit, as registration is by pre-registration only. For registration and more information, click here. 

Divorce averted: French Council annuls veggie burger name ban

The French plant-based sector reacted with relief to the decision of the Council of State to annul two decrees prohibiting the naming of products containing plant proteins with butcher, delicatessen and fishmonger terms like “steak”, “burger”, “lardon”, or “sausage”.

The Council of State deemed the French decrees of 2022 and 2024 to be illegal and contrary to European regulations. The fact that those decrees targeted only French producers was also considered particularly unfair and unacceptable. The case is closed now with a full victory for the plant-based advocates. The French government will pay €3,000 each to the parties that brought the case to court.

Study: European retail faces headwinds on growth in '25

The new State of Grocery Retail Europe report for 2025 was published by McKinsey & Company and EuroCommerce. It takes a comprehensive look at the key trends shaping the grocery sector in 2025 and beyond. The report is based on interviews with four grocery CEOs, a survey of more than 30 European CEOs, and a survey of over 14,000 consumers across 13 European countries.

Although overall volume growth is expected to remain low in 2025 and through 2030, there are signs of recovery in some markets. Grocers are expected to shift their focus to capturing growth opportunities and laying the groundwork for future advancements. Despite continued cost and margin pressure, grocery retail CEOs are slightly more optimistic than they were in 2024.

The report also found that private labels gained an additional share in 2024, and 84 percent of consumers say they will continue buying private label products even if their purchasing power grows. Grocers increasingly position their own brands not just as cheaper alternatives, but as differentiated alternatives to A-brands.

There is a growing appetite for healthy food. The demand for healthy options and functional food is increasing, especially among members of Generation Z. Generation Z not only has the highest intent (45 percent) to focus on healthy nutrition among all cohorts, but it also has the highest growth as a group of shoppers.

Personalization is the new standard for engagement. More than half of all shoppers say they will likely become repeat buyers after a personalized experience, and personalization has the potential to drive an uplift of 4 to 6 percent in revenue and retention. Increasingly, grocers use AI to personalize the shopping experience.

Global shoppers’ priority on price & quality leads them to private label

Simon-Kucher research reveals price sensitivity, growing demand for quality, and a sharp rise in private label purchases across key markets. The study says consumers worldwide are rethinking how they shop - prioritizing price, seeking higher quality, and increasingly turning to private label products. Based on a survey of 8,000 respondents across seven countries, the findings showcase a clear shift towards private labels, driven by affordability and evolving priorities.

Key findings include a private label dominance: More than half (53 percent) of consumers prefer private labels, with the highest share in Spain (64 percent), France (60 percent), and the Netherlands (58 percent). The US (42 percent) and Sweden (47 percent) show the lowest adoption, highlighting growth potential in these markets.

Secondly, price remains paramount: Between 55 and 66 percent of respondents across all countries state that price has become even more important, particularly in the UK, US, and Spain.

Third, rising quality awareness: 34 percent of respondents place an increasing emphasis on quality, with notable increases in the US (45 percent) and Germany (37 percent).

Sustainability gains traction: Around 28 percent of shoppers prioritize sustainability, particularly younger consumers. In France and the Netherlands, a significant share of respondents (23 percent and 26 percent, respectively) indicate that sustainability holds less importance for them now compared to the beginning of 2024.

NIQ index of top 20 private label retailers in EU5 revealed; M&S is tops

Three retailers from the UK make up the top 3 of the NIQ ranking of retailers with the highest percentage of private label sales in Europe: Marks & Spencer (96%), Aldi UK (89%) and Lidl UK (85%). The NIQ index analyses FMCG sales in the five main European countries France, Germany, Italy, Spain and the UK.

In fourth place is Lidl Spain, where private label sales represent 82% of its sales. Following in fifth place are Eurospin and Mercadona, both with an 80% share of private label sales. Aldi Germany (78%), Lidl France (77%), Aldi France (76%), and Aldi Spain (72%) complete the top ten for private label sales in Europe.

“No surprises - discounters like Lidl, Aldi, and Eurospin dominate the top 20. But they’re not alone! Supermarket giants such as Mercadona, Tesco, and Marks & Spencer also make the list,” says Daniel Ducrocq, Vice President of Retail for Western Europe at NIQ on Linkedin.

The remaining ten places in the top 20 include Lidl Italy, Lidl Germany, DIA (59% of sales correspond to private label), MD Discount, Waitrose, Penny, Norma, Sainsbury's, Tesco, and Asda with private label share of sales going from 72% down to 47.

“UK retailers stand out in particular in the ranking, with several retailers occupying a prominent place thanks to a highly developed private label strategy. What is the key to their success? A diverse product offering that covers all price segments, from basic products to premium innovations,” adds Ducrocq.

Dutch-based European purchasing alliance formed

Swiss retailer Coop, Dutch purchasing cooperative Superunie and Belgian retailer Colruyt Group have formed a European purchasing alliance named Vasco International Trading, with its headquarters based in Amsterdam. Vasco will act as a central point of contact for specific negotiations with leading international suppliers, focusing on pricing and contract terms.

In a joint statement, Colruyt, leading retailer in Belgium, explained that the “independent company aims to enhance the purchasing effectiveness of its shareholders to re-establish a level playing field to secure competitive terms and conditions from FMCG goods from international brand suppliers.” It added: “Vasco International Trading permits its shareholders to compete more effectively with internationally organised competitors, ultimately benefiting their customers. Colruyt is the leading retailer in Belgium.

Superunie represents ten independent Dutch retail organisations, operating over 1,500 stores and holding a 26% market share in the Netherlands. Swiss Coop’s retail activities, meanwhile, generated retail revenues of 20.8 billion Swiss Francs (approximately 21.85 billion euros).

Vasco’s first negotiations are scheduled to begin this autumn. The alliance will take a cautious approach in the first year, but in the long term Vasco International wants to engage in negotiations with approximately 50 of the world’s largest FMCG multinationals.

The alliance does not set itself any concrete objectives regarding purchasing advantages. “First, we want to pool our best practices and gather knowledge across borders. A small percentage on a large amount would already be worth it.”

The increasing tendency of retailers to create international alliances makes sense at a time that many supermarkets are struggling, while big international brand manufacturers are making considerable profits. In addition, many of the concerns expressed by the big brands about the rise of purchasing clubs are myths, concludes emeritus professor Marcel Corstjens of business school Insead in research into the impact of these alliances. What is not a myth, the study reports, is that purchasing groups predominantly use their advantage to lower prices. If retailers oppose big brand multinationals in a competitive market via alliances, the consumer wins.