As consumers become more conscious about the products they purchase, retail giants like Walmart are turning to the creation of their own premium brands to attract new customers. The launch of Walmart’s new store brand, Bettergoods, is a clear indication of this trend towards offering higher quality grocery products.
Walmart is not alone in this strategy, as private labels have seen a significant increase in sales across the board. Companies like Target have reported annual revenue of $30 billion from their “owned brands,” showing that investing in premium store brands is becoming a lucrative trend in the retail industry.
To explore the private label strategies of these retail giants, WSJ’s Sarah Nassauer visited Walmart and Target to see firsthand how they are approaching this shift in consumer preferences. The video delves into the rise of private labels, the efforts of Walmart in introducing Bettergoods, and the success of Target’s owned brands.
With the increasing demand for higher quality products, it is clear that Walmart and Target are adapting to these changing consumer preferences by investing in their own premium brands. By offering a diverse range of products under their private labels, these retail giants are able to attract a new segment of customers who are willing to pay for quality and exclusivity in their grocery shopping experience.
Overall, the rise of private labels in the retail industry signifies a shift towards premium products that cater to the evolving needs and preferences of today’s consumers. Walmart and Target’s private label strategies demonstrate their commitment to adapting to these changing market dynamics and staying ahead in the competitive retail landscape.
Watch the video by The Wall Street Journal
Video “Why Walmart Is Making Its Own Premium Products Now | WSJ” was uploaded on 01/15/2025 to Youtube Channel The Wall Street Journal