Private Label Surge: 58% of Consumers Indifferent to Brand Loyalty
Event summary
- 58% of consumers now prioritize product needs over brand loyalty, per NIQ’s 2026 report.
- Gen Z leads the shift, with 67% viewing private labels as equal to national brands.
- Private label products are gaining traction across value, mainstream, and premium segments.
- Retailers are leveraging innovation and premium positioning to drive private label growth.
- NIQ’s report highlights fluid consumer behavior between 'upgrade' and 'price-constrained' mindsets.
The big picture
The 26% global FMCG price surge between 2021 and 2025 has accelerated a shift toward value-conscious shopping, with private labels emerging as credible alternatives. This trend is reshaping retail dynamics, forcing both manufacturers and retailers to rethink differentiation strategies beyond traditional brand equity. The rise of private label is no longer just a trade-down story but a broader redefinition of consumer choice across all price tiers.
What we're watching
- Brand Loyalty Erosion
- How national brands will adapt to declining loyalty and rising private label competition.
- Retail Innovation
- Whether retailers can sustain premium positioning of private label products beyond cost savings.
- Consumer Polarization
- The pace at which fluid consumer mindsets will reshape shelf competition and pricing strategies.