The private label revolution is no longer an emerging trend; it is the new baseline. The Private Label Manufacturers Association reported in its 2026 Private Label Report that U.S. store brand sales reached a record $282.8 billion in 2025, an increase of more than $9 billion compared to the prior year. Store brand dollar sales grew 3.3% for the 52 weeks ending December 28, 2025, outpacing national brand growth of just 1.2% by nearly three to one.
The five-year trajectory tells an even more compelling story. According to PLMA data, annual dollar sales of store brands have increased $64.8 billion since 2021, a gain of 30%, while dollar share has risen from 19.1% to 21.3%. On the unit side, store brands now command a record 23.5% unit share, up from 21.6% five years ago. Unit volume hit 68.7 billion, up 434.3 million from the prior year, while national brand unit volume actually declined by 0.6%.
The growth is broad-based across departments. PLMA's report showed that Refrigerated led department-level gains with 6.1% store brand revenue growth, followed by Beverages at 4.8%, Pet Care at 3.7%, Beauty at 2.8%, Frozen at 2.4%, General Food at 1.6%, and General Merchandise at 0.9%. The breadth of these gains suggests that private label is no longer a story about cheap alternatives in commodity categories; consumers are choosing store brands across the store.
Retailers are responding with investment, not just price positioning. Food Navigator-USA reported that Kroger, Hy-Vee, and UNFI are making aggressive better-for-you private label plays in 2026, recognizing that health and wellness is the next frontier for store brand differentiation. In Europe, where private label penetration is even higher, Wonnda's market analysis notes that retailers like Lidl, Aldi, and Carrefour are investing in premium private label tiers that rival national brands on taste, ingredients, and packaging.
The pricing dynamic continues to favor store brands even as their own prices rise. Private label prices have increased by approximately 8%, yet they remain 20% to 30% cheaper than national brand equivalents. With 47% of consumers now identifying as value seekers and nearly seven in 10 retail executives viewing trade-down behavior as structural rather than temporary, private label's share gains appear built to last.