86% of Shoppers Ditch Name Brands for Private Label as Prices Climb, RDSolutions Survey Finds

Rhea-AI Summary

A comprehensive RDSolutions survey reveals significant shifts in consumer shopping behavior amid rising inflation and tariff concerns. The study found that 86% of U.S. shoppers have switched to private label products, with 75% of these consumers rating store brands equal to or better than national brands. Price sensitivity is paramount, with 87% of respondents heavily weighing price in store selection and 44% rating it as a critical factor. The survey, conducted in May 2025 among 250 verified U.S. consumers, shows that 62% would switch stores over high prices, while 42% opt for cheaper alternatives and 20% skip certain items entirely. When defining value, consumers prioritize comparative pricing (36.8%), size/quantity (27.6%), and brand reputation (12.8%). Additionally, 84% of shoppers believe economic conditions directly impact local food prices, with 65% influenced by promotional deals like BOGO offers.

Positive

• 86% of consumers are adopting private label products, indicating strong market acceptance
• 75% of private label buyers rate store brands as equal or superior to national brands
• 65% of consumers are influenced by promotions, showing effective marketing potential

Negative

• 62% of shoppers would switch stores due to high prices, indicating low customer loyalty
• 20% of consumers are skipping certain items altogether, suggesting reduced consumer spending
• 84% of shoppers attribute rising food prices to economic conditions, showing widespread price sensitivity

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New data shows consumers increasingly switching stores, brands, and buying habits amid inflation and tariff concerns

GLEN ALLEN, Va., June 17, 2025 /PRNewswire/ -- As grocery prices continue to rise, a new national survey by RDSolutions reveals that 86% of U.S. shoppers have switched to private label products for at least some of the items they regularly purchase—underscoring growing price sensitivity amid inflation and looming global tariffs.

More than 86% of consumers surveyed buy private label versions of some or most of the products they regularly purchase.

Conducted in May 2025 among 250 verified U.S. consumers, the survey found that price is the dominant driver of store and brand choice:

• 87% rated price a 6 or higher on a 10-point scale when deciding where to shop
• 44% rated it a 9 or 10
• 62% of shoppers said they would switch stores if they perceived prices to be too high

"These findings highlight just how central price has become to shopper loyalty—both to retailers and brands," said Lee Kallman, Chief Commercial Officer at RDSolutions. "Economic headwinds like inflation and tariffs are accelerating changes in consumer behavior. Retailers and manufacturers who don't respond quickly risk losing share."

Private Label on the Rise

In addition to changing stores, shoppers are shifting what they buy:

• 42% opt for cheaper alternatives when prices rise
• 20% skip certain items altogether
• Only 11% stick to their usual brands regardless of price

More than 86% of consumers surveyed buy private label versions of some or most of the products they regularly purchase. Among those who now buy private label, 75% say store-brand products are as good as or better in quality compared to national brands.

Value and Perception Drivers

When asked what defines a "good value" for a food item, shoppers cited:

• Price compared to other similar products – 36.8%
• Size or quantity – 27.6%
• Brand reputation – 12.8%
• Discount offers – 10.8%
• Organic/natural vs. conventional – 10%

Further supporting the value-conscious mindset, 65% said promotions such as BOGO deals influence their perception of value, and 28% are buying fewer items overall as prices rise.

Notably, 84% of shoppers said they believe economic conditions—such as inflation or tariffs—are directly affecting food prices in their area.

RDSolutions Webinar & Industry Comparison

These findings were discussed during the recent webinar "Shoppers' Perceptual Filters and Their Effect on Food Pricing," hosted by RDSolutions and moderated by retail analyst Phil Lempert. The session featured RDSolutions CEO Jake Blondin and CCO Lee Kallman and is available for replay at https://rdsolutions.io/event/shoppers-perceptual-filters-and-their-effect-on-food-pricing/.

Methodology

This report is based on a national survey conducted by RDSolutions in April 2025. It includes responses from 250 verified U.S. consumers who identify as the primary grocery shopper in their household. The sample reflects a mix of genders, age groups, household incomes, and geographic regions. Data was collected through a structured online questionnaire and is intended to offer directional insight into evolving shopper behavior.

Explore the Full Survey Findings

To see all the data highlights from the 2025 shopper survey—including consumer price sensitivity, store-switching behavior, and private label insights—download the full report.

About RDSolutions
RDSolutions is a leading retail intelligence and execution partner helping brands and retailers turn data into real-world action. With over 35 years of experience and a nationwide team of full-time field reps, RDSolutions delivers measurable results across pricing, availability, product launches, and competitive tracking. Headquartered in Richmond, Va., RDSolutions is a wholly owned subsidiary of The Markel Group (NYSE: MKL), a Fortune 500 company.

Learn more at RDSolutions.io.

Media Contact:
Courtney Cook
Director of Marketing
Courtney.Cook@rdsolutions.io

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SOURCE RDSolutions

FAQ

What percentage of shoppers are switching to private label brands in 2025?

According to the RDSolutions survey, 86% of U.S. shoppers have switched to private label products for at least some of their regular purchases.

How many consumers would switch stores due to high prices?

The survey found that 62% of shoppers would switch stores if they perceived prices to be too high.

What do consumers consider the most important factor for 'good value' in food items?

Price comparison with similar products was rated as the most important factor at 36.8%, followed by size/quantity at 27.6%.

How many consumers believe economic conditions affect food prices?

84% of shoppers believe economic conditions such as inflation or tariffs are directly affecting food prices in their area.

What percentage of consumers rate price as important when choosing where to shop?

87% of consumers rated price a 6 or higher on a 10-point scale when deciding where to shop, with 44% rating it a 9 or 10.