BJ’s Wholesale Club enjoyed strong growth its private brands in 2021, as the company reached $16.3 billion in sales and hit the $1 billion mark in e-commerce sales. Annual private brand share came in at 23%.
The company’s President and CEO Robert Eddy told analysts that its own-brand penetration increased 200 basis points to 23% in the fourth quarter with perishable and sundry items especially showing popularity with shoppers.
“With increased focus on own brands, we will look to accelerate the steady improvement we've been making and we think we have good run rate here,” he said. “Our members are reacting well to our brands, and we find that members that shop own brands are among our most valuable.
The number of baskets that contained at least one own brand item was up this year and repeat purchase rates improved by approximately 400 basis points during the year.
“In addition to completing the sundries simplification and increasing own brands penetration, we will also begin the reinvention of our fresh offering to ensure that we’re providing a higher-quality and better-value version of the products our members want most,” Eddy said.
The CEO reported that “2021 was the most profitable year in our history, with tremendous financial results and impressive progress on our strategic priorities.”