The country’s private label grocery market is projected to reach $896 million this year, according to a report by the USDA-Foreign Agricultural Service (FAS) Manila.
Private label products accounted for 7 percent of total food and beverage (F&B) grocery sales in the Philippines.
Total F&B grocery sales are projected to reach $12.8 billion in the Philippines this year, a 5 percent year-on-year increase, FAS Manila office said in a report dated Jan. 15.
“This growth is expected to continue at a compound annual growth rate (CAGR) of 5 percent over the next five years, outpacing the broader Asia Pacific market’s projected CAGR of 4 percent,” according to the FAS Manila.
Private labels are products manufactured or packaged for sale under the name of the retailer rather than that of the manufacturer.
“With some grocery operators aiming to double their private label portfolios within the next five years, significant opportunities exist for exporters to supply US food and beverage products under both US and grocers’ private label brands,” FAS Manila said.
In the past five years, private label products have made up an average of 7 to 10 percent of grocery food and beverage sales in the Philippines which is higher than the Asia Pacific average of 6 percent, FAS Manila said.
The USDA-FAS Manila regularly reports on food and beverage grocery sales, including private labels, to help American exporters identify existing opportunities for the products in the Philippine market.
As of end-2024, SM Markets, Puregold Price Club and Robinsons Retail dominated the food and beverage grocery sector, which collectively accounted for 50 percent market share in terms of grocery operators, it added.
SM Markets accounted for a 22 percent share through its outlets such as SM Supermarket and Hypermarket, Savemore Supermarket, Alfamart convenience store and Waltermart Supermarket which carries private label brands such as SM Bonus, Alfa Savers and Everyday.
Puregold Price Club had a 16 percent share. Its stores include Puregold Supermarket, Hypermarket and S&R Membership Club selling private label brands like Pure Basics, Member’s Value and Fresh Pick.
Robinsons Retail covered 12 percent of the market. The company operates Robinsons Supermarket, Marketplace Supermarket, Shopwise Hypermarket and Uncle John’s convenience store, with private label brands Surebuy and Healthy You.
Independent grocery operators having a single grocery brand, such as 7-Eleven, Metro Retail Store Group, Super8, Landers and Prince Retail Group, cornered 14 percent of the market.
The remaining 36 percent share was spread over more than 1.3 million micro-operators located throughout the country.
Original Article: https://malaya.com.ph/business/business-news/ph-private-label-grocery-sales-to-hit-896m-in-2025-usda-report/
