PLMA reports jump in 2010 private-label sales

NEW YORK — Private-label sales across all three major retail channels reached new highs in 2010, according the Private Label Manufacturers Association.

According to PLMA's 2011 Private Label Yearbook, which tracks private-label sales and market share trends based on Nielsen Co. data for the year ended Dec. 25, 2010, found that when looking at total outlets — which is comprised of U.S. supermarkets, drug stores and mass merchandisers, including Walmart — store-brand sales increased by nearly 2%, while dollar share advanced by almost half a point to a new record level. This brought total sales to $88.5 billion, according to the Nielsen data.

PLMA also said among these increases, private-label brand sales increased more than 2% and nearly 5% in supermarkets and drug store chains in 2010, respectively. Over the past decade, annual sales of private-label products have increased by 40% in supermarkets and by 96% in drug stores, PLMA said.

PLMA noted that while the numbers prove the growth of the private-label market, there is an estimated $15 to $20 billion in additional private-label sales that occur in channels not reported to the Nielsen databases, including warehouse clubs, limited-assortment stores, convenience stores and dollar stores. If these data were reported, the total sales likely would have produced a grand total exceeding $100 billion for 2010, PLMA said.

PLMA also noted growth was attributed to the recession, which forced