Amazon, Target use seasonal private label assortment to create affordable indulgences

Sweater weather has arrived, meaning pumpkin spice-flavored everything will flood retail shelves. But consumers’ price consciousness could make it difficult for retailers to encourage spending on discretionary purchases.

That’s why Amazon, Target, and Albertsons are expanding their private label brands, leaning on fun, seasonal flavors and small indulgences to get consumers to splurge beyond their normal groceries.

Why it matters: Consumers are increasingly turning to private label brands as they seek lower-cost (but not lower-quality) goods at the grocery store.

• 48% of US adults have purchased private label items as a cost-saving measure, according to an April 2024 survey from CivicScience.
• Over half (58%) of US consumers think private label brands offer an above-average value for their price, according to July 2024 data from Numerator.
• 53% of US grocery shoppers say they consider store brand quality when picking a grocery store, per January 2024 data from Progressive Grocer.

‘Tis the season: Target and Amazon are leaning on fall flavors to attract shoppers.

• Target added 150 private label items, including new seasonal items like pumpkin donut holes, jack-o’-lantern sandwich cookies, pecan pie ice cream, and turkey stuffing flavored potato chips.
• The retailer also expanded its candy assortment ahead of Halloween, introducing 30 new items under its Favorite Day line.
• New seasonal items from Amazon’s Aplenty brand include Honey Crisp Apple Cider, Cinnamon Bun Pancake Mix, Pumpkin Spice Granola, and Caramel Pumpkin Spice Popcorn.
• Ahead of the winter holidays, Amazon will add more seasonal items like Sparkling Citrus Punch and Double Chocolate Truffle Hot Chocolate.

Party on: Albertsons has launched a private label line dedicated to holiday celebrations and special occasions.

• Overjoyed, the grocer’s first private label debut in years, offers sweet treats, dessert toppings, and cupcake liners.
• Overjoyed Boutique features giftable items like scented candles, flower vases, and seasonal decor.
• Seasonal goods will rotate with every holiday. For example, Halloween items include vampire fang gummies and decorate-your-own graveyard cookie kits.

The bottom line: Heading into the holiday season, retailers must motivate consumers to spend. Private label is a powerful tool—over half (53%) of US retailers expect private labels to be their No. 1 growth driver in 2024, according to an October 2023 survey from NIQ and Advantage Solutions.

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