How to Boost Consumer Engagement in Private Brands

Private brands continue to gain shopper awareness, sales and loyalty, with FMI’s The Power of Private Brands 2026 report highlighting opportunities to accelerate growth through stronger marketing, health-focused innovation, strategic investment and enhanced value propositions.

By: Tom Cosgrove, Director of Industry Relations, FMI

What if one of your strongest competitive advantages was already on your shelves? FMI's latest research suggests private brands are doing more than driving sales, they're helping retailers strengthen shopper loyalty and stand out in a crowded marketplace. The research found strong shopper awareness of private brands, solid representation of these brands in homes and continued industry gains in sales and shares.

Now for my point about opportunity. The research cites strategies to make the story even better by accelerating shopper engagement.

The insights are detailed in FMI’s newly released The Power of Private Brands 2026 report. I want to share highlights and emphasize a few opportunities.

Key Data Points From the Latest FMI Research

Here are a few findings that spotlight the continued positive momentum.

• Almost all shoppers (93%, up from 89% last year) report high awareness of private brands at their primary grocery store — whether under the store’s name or another name.
• Private brand dollar sales for the 52 weeks ending March 22, 2026, increased 2.8%, compared to 2.6% for national brands, according to data from Circana. Private brand unit sales increased 0.6% versus a year ago, compared to 0.2% for national brands.
• Younger shoppers are outperforming in private brand buying. Fifty-nine percent of Gen Z shoppers and 52% of Millennial shoppers have been purchasing more private brands in the past year, compared to 49% of shoppers overall. 
  

Opportunities to Boost Consumer Engagement

Here are four strategies outlined in the report for building shopper engagement.

1. Enhancing Shopper Awareness: Shoppers show growing recognition about the benefits and value of private brands, and the industry has opportunities to elevate marketing and merchandising to further spread the word. Strategies to enhance awareness and generate trial can include increased advertising, improved visibility across omnichannel and developing partnerships with influencers or chefs.
   
2. Optimizing Health Attributes: Seventy-eight percent of shoppers seeking health attributes in private brand items are finding them, while 7% are not and 15% say it varies. While only a relatively small share isn’t finding the attributes, there are opportunities for retailers to enhance success. Possible strategies range from enhanced product development to improved online filters.
3. Investing in Private Brands: Fifty-six percent of shoppers say their primary store’s brand is very or extremely important in choosing to shop at the store. Private brands are differentiators because they are unique to specific stores. Retailers have opportunities to consider this factor in planning future company investments in private brands. 
4. Building on Value Propositions: Over the past few years, taste, quality and packaging have advanced as reasons for buying private brands, an indication of growing momentum for non-price factors. The industry has enhanced the value proposition for private brands and can focus on making more progress in the future.
   

Benefitting From the Insights

These opportunities are timely because many shoppers expect to buy more private brands in the future. Forty-three percent of shoppers expect to buy private brands somewhat or much more, and only 2% expect to buy private brands less. More than half expect to purchase about the same levels.

I invite you to download the private brands report for the full story. FMI will unveil another private brands research piece in the fall, focused on industry research.

FMI is committed to providing insights that help its private brands community keep the momentum going.

Read the Report