Private Label Moves Towards Half of European Supermarket Sales

Private-label products are continuing to reshape European supermarkets, with shoppers increasingly choosing retailers’ own brands as they look for better value without necessarily sacrificing quality. Spain is among the strongest markets for private label, with store brands accounting for 47.3% of grocery sales by value in 2025, according to data from NielsenIQ published by the Private Label Manufacturers Association (PLMA). Spain also recorded one of the strongest increases in Europe, with private-label share rising by 1.1 percentage points during the year.

The Spanish market is particularly significant because private label has moved well beyond the traditional perception of being simply a cheaper alternative to branded products. Major supermarket groups have developed extensive own-brand ranges covering fresh food, packaged groceries, household products, health and beauty, premium products and specialist categories.

Across Europe, the strength of private label varies considerably from country to country. NielsenIQ data covering 17 European markets showed private-label value share at approximately 52.3% in Switzerland, 47.3% in Spain, 46% in the Netherlands, 45% in the United Kingdom, 44% in Portugal, 38% in Germany, 36% in France, 35% in Austria and 32% in Italy. The European average across the 17 markets reached 38.8% in 2025, with private-label sales exceeding €387 billion.

European countryPrivate-label share
Switzerland52.3%
Spain47.3%
Netherlands46%
United Kingdom45%
Portugal44%
Germany38%
France36%
Austria35%
Italy32%

The figures underline how deeply private label has become embedded in European grocery retail. In the United Kingdom, Germany and France together, private label represents around 40% of the market, while Switzerland has become the only market among the 17 tracked by PLMA and NielsenIQ where the value share has moved above 50%.

The growth is not being driven by price alone. European consumers increasingly view supermarket own brands as credible alternatives to established manufacturers’ brands, while retailers are investing in packaging, product development, premium ranges and quality. NielsenIQ reports that 55% of European consumers say they are buying more private-label products than ever before.

For supermarket operators, the expansion of private label offers greater control over pricing, product differentiation and margins. For manufacturers, however, the trend creates a more competitive environment as retailers increasingly control both the shelf space and the brands competing for it.

With private label continuing to outperform the wider grocery market in Europe, the balance between retailer brands and traditional manufacturers is likely to remain one of the defining developments in supermarket retail.