Private label is booming in Germany

The effect of increasing inflation is reflected in recent consumer behaviour. Brand quality and sustainability are no longer as important in food purchases. And price is returning to its old major role with 62% of respondents stating it has become more important to them according to a survey commissioned by Bonn-based strategy consultants Simon-Kucher in September 2022.

During lockdown, attitudes towards price amongst the 1,000 respondents remained unchanged and regarding product quality increased in importance. The 62% figure with regard to price is almost double that of pre-lockdown. This explains the increase in interest of consumers in private label, beyond a general trend towards purchasing less and spending less.

46% of respondents state they buy mainly or primarily private label products, rising to 66% amongst lower income households. This trend is particularly apparent in the categories fruit/vegetables, detergents/cleaning products and cosmetics. However, with snacks or confectionery the private label share remains relatively stable.