Highlights from PLMA’s Record-Setting International Show

PLMA has concluded another successful “World of Private Label” International Trade Show in Amsterdam. It featured 2,650 exhibitors from 72 countries and 16,000-plus visitors from 120 countries. In total, there were nearly 28,000 attendees. The PLMALive.eu news team was there to discover new products and trends. Among the direct-from-the-show-floor reports: Judith Kolenburg tours the “Idea Supermarket,” a special show display of private label product innovations; Edgar Elzerman walks the show floor in search of unique foods, beverages and more.

PLMA's 2023 US Trade Show in Chicago to Hail 'The Store Brands Phenomenon'

At a time when store brands have grown to become a $230 billion industry in the U.S., PLMA has announced a fitting theme for its 2023 US Private Label Trade Show: “The Store Brands Phenomenon.” The show will be held November 12-14 in Chicago.

The growth of store brands has been strong and steady. By the end of 2022, PLMA calculates that annual store brand sales in the U.S. had increased by 40% over a five-year period. Last year's double-digit gains continued through the first quarter of 2023, according to Circana. Sales and dollar and unit market shares are at all-time highs.

They are the shopper’s best friend, offering innovation, performance and quality. Store brands accounted for nearly one-third of all new sales flowing into U.S. retailing last year.

And there's more to come. Every day, store brand products are moving into new categories, new chains, new channels, and new platforms. The 2023 Show will reflect this expansion. PLMA expects that over 1,500 companies will be exhibiting and 5,000 individuals attending overall.

PLMA’s 2023 "World of Private Label" Confirms its Standing as THE Annual Global Private Label Event

PLMA’s 2023 "World of Private Label" International Trade Show, which was held 23-24 May at RAI Amsterdam, has come to a close. The show welcomed a record number of 16,000+ trade visitors from 120 countries worldwide. The numbers beat pre-pandemic levels and confirm that the industry is fully back in force.

Some 2650 exhibiting companies from 72 countries presented thousands of products at the show. Exhibitors reported that, as usual at the PLMA show, visitor quality was impeccable. Many new contacts were made, meetings with existing partners took place and groundwork for future deals was laid.

Among the main attractions were also PLMA Idea Supermarket and New Product Expo, presenting one centralised display of private label innovation and new product development.

The event kicked off with the well-attended pre-show seminars on Monday 22 May. For the current year 2023, private label is expected to grow with 2-3% points in Europe, with strongest growth in Eastern Europe. “PL is having a winning momentum, so now is the time to positively connect with your shoppers”, said Servé Muijres of GfK.

Both NielsenIQ and GfK confirmed Europe as the biggest market for private label, with a 34% market share. What’s more, across countries and across product categories, private label is still gaining market share.

Arjan Both of Walmart explained how the world’s largest retailer has been working on its strategy to build the most trusted and resilient supply chain. The company is very much open to doing business with European private label suppliers who are recognised globally for setting the bar.

Many FMCG Manufacturers Able to Increase Margins

A study by consultant Oliver Wymann shows that last year, many large consumer goods producers throughout Europe made significantly more profit on average. Medium-sized producers had to accept declines on average. According to the study, in contrast to the food trade and medium-sized companies, the European FMCG companies benefited from expansions beyond Europe - especially in America and Asia. Many international retailers were also able to increase, albeit significantly less.

For the analysis, the consulting company examined the sales development as well as the profitability of 70 major European consumer goods producers and food retailers. The analysis is not representative, but provides at least some figures for the ongoing debate on price increases.

Those Over 35 'Order Most Often' From Quick Delivery

Data from research agency Hiiper about quick commerce in the Netherlands shows that the age group that most often order from quick delivery companies such as Flink and Getir is not the expected group of teenagers and people in their twenties. Instead, consumers between the ages of 35 and 45 order most often, on average about eight times a year.

Britons Reportedly Pay the Most for Groceries

Market research company Circana reveals that the inhabitants of Great Britain spend the most on food of all countries in Europe. Prices for milk and cheese in particular have risen sharply since last year. Other products such as animal feed, detergent, baby food and diapers also became a lot more expensive compared to other European countries. The researcher examined sales figures in Great Britain, the Netherlands, Spain, France and Germany.

The London School of Economics previously calculated that the British spend at least €5 billion more on groceries than before leaving the EU in 2020. The cause is that the British have to import a relatively large amount of food. It is precisely these imports that have become more expensive since Brexit.

After Only 7 Months, Discounter Basalt is Discontinued by Salling

Denmark’s largest supermarket retailer Salling Group is closing the hard discount chain “Basalt” only seven months after it launched the first store in the country. The start of the chain came at a time that consumers were faced with sky-high inflation and very expensive energy.

The concept focused on everyday low prices, EDLP, and promised shoppers ten to 15% lower prices than at other discounters. The retailer tried to keep operating costs down in order to make this low price offer possible. Amongst others, the total product range was limited: Basalt did not offer frozen or refrigerated items.

The retailer says that it has found that the current spring and summer weather has changed consumers’ product demand, for barbecue meat, or cold drinks, for example. Basalt did not offer any of this. In addition, the economic forecast is better than it was seven months ago. Finally, the EDLP concept of fixed low prices did not fall well with the Danes that prefer to hunt for discounted items.

Four of the ten Basalt stores will be converted to the Salling Group’s Netto banner and the remaining stores will be closed.

Mimicking Asda, Sainsbury’s Launches One Brand for All 'Value' Items

Sainsbury’s has announced a major change to its own brand value range. The retailer is launching one single brand to encompass all of its value range products in a move it says will help customers find budget items more easily in-store and online.

The new branding for its budget range will be "Stamford Street" which is a homage to the supermarket chain's previous London home. Stamford Street will consist of over 200 products, with items rolling out between now and autumn. All products from the original ranges including Mary Ann’s and J. James will be converted across and new high-volume products have been added to the range..

In a bid to help customers keep the cost of their weekly food shop down, the supermarket's new value range will be easier to find, with a new distinct packaging that will be grouped together on shelves. There will also be dedicated signage in-stores, as well as a custom page on the Sainsbury's website to help shoppers find what they need.

The move from the retailer follows a similar step from Asda which rebranded its own value brand under the Just Essentials range last summer. The range has since soared in popularity, so much so that the retailer was forced to ration its products, preventing customers buying more than three of any one item.
…While Lidl France Starts Delivery of Non-Food

Discounter Lidl has added France to the seven countries in which it sells non-food online. The launch of the service in France will be supported by a 360-degree communication campaign, across TV, radio, press, displays and digital. France is Lidl’s oldest and strongest foreign market, it has a market share of almost 8% and a turnover of 15 bln €.

At the launch, 1,000 SKUs are offered, and the company’s aim is to double the number within the coming two or three months and bring it to 5,000 by next year. Products range from sports and textile, through garden and children’s  items to DIY and bazaar products.

Before starting the roll out of the online service, trials were conducted with sales of wine and beauty products to get to better know their customer base and help customers get used to visiting the website and creating a profile.

The discounter does not offer an online food service.

Top Health & Beauty Trends at PLMA's Trade Show

Health and beauty - the supermarket’s largest non-food department – is one of the featured categories at PLMA’s “World of Private Label Trade Show,” 23-24 May. Judith Kolenburg shares the latest private label sales data, as well as trends and new products. Also, Hans Kraak provides an update on the plant-based protein market and tackles nutritional quality concerns regarding the segment.