Private Label Growth Is Exploding—Here’s How They’re Using Labels to Win
In today’s evolving retail landscape, private label products—once synonymous with plain packaging and bargain-bin pricing—have taken a bold step into the spotlight. Retailers are no longer just stocking their shelves with name brands; they’re creating their own. And consumers are responding in kind. In 2024, private label market share surged past 20% in the U.S. and even higher in Europe, with double-digit growth across many categories including grocery, beauty, wellness, and pet care.
What’s fueling this explosion? A mix of inflation-wary shoppers, evolving consumer trust, and retailers investing heavily in “premiumization”. But one often overlooked catalyst is the humble product label. From clever copy to captivating design, labels are now a critical part of how private labels position themselves as desirable, differentiated, and trustworthy.
Let’s explore how smart private label brands are using labels to win—and what lessons can be learned by other brand owners.
From Generic to Premium: The Private Label Transformation
Private label products used to be easy to spot: bland designs, minimal branding, and a strong focus on price. Think no-frills cereal boxes or store-brand paper towels. But that image has been disrupted.
Today’s private label strategies focus on emotional connection, niche positioning, and polished branding. Retailers like Target (with brands like Good & Gather), Trader Joe’s, Whole Foods (365 Everyday Value), and Kroger (Simple Truth) are investing in visually appealing, informative, and brand-forward labels that rival—or exceed—their national brand competitors.
The transformation has elevated private labels from cost-saving alternatives to brands with their own identity. And the label on the packaging is doing much of the heavy lifting.
The Label as Brand Builder
A well-crafted label isn’t just a sticker—it’s a mini-billboard, a silent salesperson, and often the first (and only) chance a product has to make an impression on the shelf or online. For private label products, the stakes are even higher. Here’s how they’re using labels strategically:
1. Design That Signals Quality
Consumers judge books by their covers—and groceries by their labels. Private label products are investing in high-end design elements to make a strong visual impact.
Minimalist aesthetics signal modernity and cleanliness (e.g., Trader Joe’s skincare line).
Bold colors and typography help private brands stand out and feel intentional, not like a compromise.
Matte finishes, metallic foils, and custom die cuts add tactile and visual value, creating a premium feel.
Example: Target’s Good & Gather uses clean, contemporary design with fresh food imagery and carefully chosen fonts that convey health and quality without being overly busy. It’s designed not to feel like a store brand—just a good brand.
2. Category-Specific Labeling
Private label programs are no longer generic across the board. Instead, they’re tailoring their labeling strategies to specific consumer expectations within different categories.
Grocery: Focus on appetite appeal, ingredient transparency, and health claims (e.g., “non-GMO,” “plant-based,” “no added sugar”).
Personal care: Clean, minimalist labeling with emotional language like “gentle,” “restorative,” or “soothing.”
Pet care: Labels mimic premium pet food brands, using earthy colors, animal photos, and claims like “grain-free” or “vet-formulated.”
This category-specific labeling shows shoppers that the retailer understands each product’s context—and meets the standards consumers expect.
3. Transparent, Clever Copywriting
Label copy has become a key differentiator. Private label brands are embracing storytelling and clear communication over generic, vague descriptions.
Tone of voice: Brands like Trader Joe’s are known for quirky, engaging copy that connects emotionally with customers. This creates brand loyalty beyond price.
Ingredient clarity: Many private label products lead with transparent, simple descriptions of what’s inside and what’s not (e.g., “Made with just three ingredients” or “No artificial preservatives ever”).
Sustainability cues: Words like “locally sourced,” “certified organic,” or “100% recyclable label” build trust with eco-conscious consumers.
Retailers understand that copy sells—and in the private label game, strong label text builds confidence and connection.
Functional Features That Build Trust
Beyond aesthetics and messaging, many private labels are using functional features on labels to earn customer confidence.
1. QR Codes and Digital Extensions
Some private label products now include QR codes that link to:
Ingredient sourcing info
Recipes and usage tips
Sustainability or ethical sourcing details
Brand story videos
These smart labels extend the brand story beyond the packaging, helping retailers compete with national brands that often dominate digital engagement.
2. Regulatory and Trust Marks
Consumers are more discerning than ever. Labels that include recognizable trust marks (e.g., USDA Organic, Non-GMO Project Verified, cruelty-free icons) immediately communicate compliance and quality.
Private label brands are leaning on third-party certifications and making space on their labels for these symbols, elevating their perceived value.
3. Clear Allergen and Nutritional Callouts
Health-conscious shoppers scrutinize labels. Private label brands are responding with thoughtful layout and typography that highlight key dietary claims:
“Gluten-Free” and “Dairy-Free” in bold, high-contrast type
Sugar and sodium content placed prominently
Clean ingredient lists and “no artificial flavors” messaging
This clarity doesn’t just help consumers—it reassures them, and that builds long-term brand loyalty.
Private Label Labeling in Action: Notable Examples
Here are a few real-world illustrations of how private label brands are winning with label design:
1. ALDI’s Simply Nature and Specially Selected
ALDI’s private label brands now look boutique-worthy. Simply Nature leans into natural cues—green palettes, kraft paper textures, and clean fonts—while Specially Selected exudes luxury with dark backgrounds, gold accents, and sophisticated typography.
Result: Consumers associate ALDI with both health and indulgence, not just cost savings.
2. Whole Foods 365 Everyday Value
This brand’s redesign focuses on minimalism and function. Product categories use color-coded themes, simple ingredient callouts, and easy-to-scan nutrition. It feels fresh, modern, and informative—exactly what Whole Foods’ shoppers expect.
3. Costco’s Kirkland Signature
Kirkland’s labels might not be flashy, but they’re effective: clean design, consistent layout, and a focus on value messaging. “Same quality as national brands at a lower price” is their implicit pitch, and the label communicates that clearly with comparisons and callouts.
What This Means for Emerging Brands and Label Printers
Private label growth presents both a challenge and an opportunity for other brands and label producers.
For Emerging Brands:
The private label bar has been raised. Competing on design, storytelling, and trust signals is no longer optional—it’s the cost of entry. National brands must invest in professional packaging, authentic messaging, and targeted design to differentiate in a retail space increasingly dominated by attractive private labels.
For Label Printers and Designers:
Private label retailers often look for agile, responsive suppliers who can help them quickly iterate, scale, and differentiate across SKUs. This means:
Short runs and fast turnarounds are in demand to test new private label products.
Sustainable label materials are more frequently requested as retailers build ESG commitments into their brand strategy.
Printers that can offer high-quality design support, material innovation, and strategic guidance will become indispensable partners in the private label boom.
Final Thoughts: Labels Are the New Front Line
Private label growth is here to stay—and it’s changing how consumers shop and how retailers brand themselves. The product label, once an afterthought, is now a crucial part of the brand experience. From a simple sticker to a multi-sensory brand tool, labels are helping private labels win hearts, carts, and market share.
As design gets smarter, copy gets sharper, and consumers get choosier, there’s never been a more important time to invest in what goes on the outside of your product. Whether you’re a private label, an emerging brand, or a label provider, the message is clear: Labels aren’t just how products are identified—they’re how they’re chosen.
