Friday, October 10, 2025

Private Label Food: From Generic to Genuine Brand Power

 


For decades, “private label” food products—also known as store brands—were considered the affordable, no-frills alternative to big national names like Heinz, Campbell’s Soup, Folgers, or Jif. They were the economic choice, not the emotional one. But in 2025, the tables have turned. What was once “generic” has become genuinely powerful: private label foods are now brands of their own—with loyal followings, elevated quality, and cultural cachet according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.

The Historical Shift: From Knockoff to Knockout

Private label products first gained momentum in the 1970s and 1980s during economic downturns, when consumers sought ways to stretch grocery budgets. Back then, they were packaged plainly and marketed purely on price. The appeal was value, not flavor, not quality, and certainly not experience.

But in the past 15 years—particularly after the 2008 recession, the COVID-19 pandemic, and the inflation spikes of the early 2020s—consumers redefined what value means. It’s no longer just about price; it’s about trust, taste, and transparency. Store brands evolved with that shift, becoming culinary and lifestyle statements.

Today, private label accounts for nearly one in five grocery dollars in the U.S., and in some retailers like Trader Joe’s, that share soars above 80%. The power dynamic has flipped: national brands now chase the authenticity that once defined them, while retailers have built ecosystems of taste, convenience, and community around their own names.

 


Trader Joe’s: Cult Classics in Every Aisle

Trader Joe’s pioneered private label emotional branding. More than 80% of its products are private label, but few shoppers even realize it—they simply know they love Trader Joe’s food.

Four standouts:

1.       Everything But the Bagel Seasoning – A viral sensation that became a pantry staple nationwide and inspired a dozen imitations from major spice companies.

2.       Mandarin Orange Chicken – Once rated America’s favorite frozen entrée by Consumer Reports, it’s a cult favorite that outperforms many national frozen brands.

3.       Joe-Joe’s Cookies – Trader Joe’s spin on Oreos turned a copycat into an icon with seasonal twists like peppermint and pumpkin spice.

4.       Two-Buck Chuck (Charles Shaw Wine) – The private label wine that changed the perception of affordable alcohol forever.

Trader Joe’s proves that private label can be synonymous with fun, quirky, and craveable—a far cry from its 1980s reputation as “budget-only” food.

 


Costco: The Premiumization of Private Label

Costco’s Kirkland Signature brand launched in 1995, named after the company’s hometown in Washington state. Initially intended as a cost-saver, it’s now a badge of quality and trust. Many Kirkland products are co-manufactured by major national brands—but often outperform their partners in consumer satisfaction.

Four icons of Costco’s private label success:

1.       Kirkland Signature Organic Peanut Butter – Known for its pure ingredients and outperforming Jif and Skippy in taste tests.

2.       Kirkland Signature Vodka – Rumored to be sourced from Grey Goose’s distillery, it became a luxury-status steal at half the price.

3.       Kirkland Rotisserie Chicken – At $4.99, it’s a legend of loss-leader strategy and sells over 100 million units annually, generating a loyal weekly foot traffic ritual.

4.       Kirkland Extra Virgin Olive Oil – Rated top-tier in blind tastings by Consumer Reports, surpassing global imported brands.

Costco elevated private label into a trust brand, synonymous with quality at scale—and it did so without sacrificing the simplicity of its value-driven DNA.

 


Wawa: Private Label with a Regional Soul

Wawa, the East Coast convenience store phenomenon, blends foodservice with retail like few others. Its private label strategy focuses on portable comfort food, freshness, and a strong sense of community loyalty. In Wawa’s case, the brand is the experience.

Four private label favorites:

1.       Wawa Coffee – A regional cult obsession, roasted exclusively for Wawa and often chosen over Starbucks or Dunkin’ by loyal customers.

2.       Wawa Hoagies – Technically foodservice, but branded as Wawa’s own—signature recipes that have made the chain a sandwich icon.

3.       Wawa Snacks (Chips, Pretzels, Trail Mixes) – Localized, familiar flavors that reinforce Wawa’s “made-for-you” appeal.

4.       Wawa Milk and Dairy Line – Dating back to its origins as a dairy company in the 1900s, this private label anchors its authenticity.

Wawa’s private label success shows that heritage, heart, and hometown connection can make a store brand feel irreplaceable.

 


Legacy National Brands: Stuck Between Shelf and Sentiment

Meanwhile, legacy giants like Heinz, Campbell’s Soup, Folgers, and Jif are navigating an identity crisis.

·       Heinz, once an icon of consistency, now faces copycat competition from retailer sauces that promise fewer ingredients and cleaner labels.

·       Campbell’s Soup suffers from what analysts call “heritage fatigue”—a comfort brand outpaced by fresh, ready-to-eat and globally inspired options in the same aisle.

·       Folgers struggles against modern craft and cold brew movements, while store brands introduce premium single-origin or organic blends at similar prices.

·       Jif once owned the peanut butter category, but now competes head-on with private labels like Kirkland and Trader Joe’s, which emphasize purity and naturalness over nostalgia.

These brands still have power—but it’s rooted in history, not momentum. Private label competitors are rewriting the story with agility, authenticity, and direct connection to the shopper.

 


Insights from the Grocerant Guru®

1.       Portability Meets Private Label Power
Private labels are moving beyond the shelf to the hand. Retailers are leveraging ready-to-eat and heat-and-eat meals that carry their own brand voice into cars, offices, and homes. Wawa’s hoagies, Costco’s take-and-bake meals, and Trader Joe’s fresh bowls prove that private label is no longer just about packaging—it’s about portability and presence.

2.       Experience Equals Trust
Shoppers trust brands they can experience daily. Retailers like Wawa and Costco offer in-person sampling, café-style dining, and consistent freshness—all reinforcing emotional loyalty that no jar on a distant shelf can replicate.

3.       Price Is No Longer the Point
The Grocerant Guru® notes that private label food success now rides on perceived value, not price tags. Trader Joe’s doesn’t advertise discounts—it sells discovery. Costco sells confidence. Wawa sells comfort. Each transformed a label into a lifestyle.

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Think About This: The New Age of Private Label Leadership

Private label food is no longer the understudy—it’s the star. While Heinz and Campbell’s built America’s pantry, brands like Wawa, Costco, and Trader Joe’s are building its identity. They’ve proven that control of the shelf means control of the story—and in 2025, that story is all about trust, experience, and the delicious power of brand reinvention.

 


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