Walmart, the retail giant, is making a bold move to attract younger shoppers with the introduction of its new store-label food brand called Bettergoods. This is Walmart’s biggest store-label food brand launch in two decades, offering a wide range of products that cater to the preferences of younger customers who prioritize quality and value over brand loyalty.
Bettergoods is set to hit Walmart stores and online platforms with an impressive lineup of 300 products by this fall. The brand covers various categories, including frozen foods, dairy, snacks, beverages, pasta, soups, coffee, and chocolate, among others. With prices ranging from under $2 to under $15, the majority of the products will be available for under $5, making them more affordable for cost-conscious shoppers.
The timing of this launch is strategic, as inflation has prompted consumers to seek out more cost-effective alternatives. Private-label brands have been gaining popularity as a result, accounting for nearly 26 percent of the overall market share in the food and beverage category in terms of units sold last year. This marks a slight increase from the previous year’s market share of 24.7 percent. In contrast, national brands’ market share decreased slightly from 75.3 percent in 2022 to 74.5 percent last year, according to Circana, a market research firm.
Walmart’s competitors, including Target, have also recognized the growing demand for private-label brands and have been expanding their own store labels in the food sector. The industry as a whole has observed that younger customers are becoming increasingly brand agnostic, prioritizing quality and value when making purchasing decisions.
Scott Morris, Walmart’s senior vice president of private brands, food, and consumables, acknowledges this trend and emphasizes the importance of catering to younger customers’ preferences. By introducing Bettergoods, Walmart aims to tap into this market segment and provide them with chef-inspired foods that are not only affordable but also of high quality.
The launch of Bettergoods represents Walmart’s commitment to adapting to changing consumer preferences and staying ahead of the competition. As the largest retailer in the country, Walmart understands the importance of diversifying its offerings and appealing to a wide range of shoppers. By providing a store-label food brand with a vast selection of products at competitive prices, Walmart is positioning itself as a go-to destination for younger customers seeking quality and value.
In conclusion, Walmart’s introduction of Bettergoods, its largest store-label food brand in 20 years, is a strategic move to attract younger shoppers who prioritize quality and affordability. As private-label brands gain popularity in response to inflation, Walmart is seizing the opportunity to capture market share by offering a diverse range of chef-inspired products. By catering to the preferences of younger customers, Walmart aims to solidify its position as a leading retailer in the industry.
