Millennials, in particular, are own brand savvy, according to latest IRI survey

CHICAGO — There is significant opportunity among own brand CPGs as consumers continue to navigate a volatile economy, IRI reported Tuesday in its "Mid Year Reflection 2017" report. Perhaps because of that volatile economy, shoppers continue to place a high priority on value, and this influences store selection as well as private brand purchase.

More consumers are turning to private label options this year compared with last year, IRI reported. According to its Consumer Connect survey, 83% of consumers reported they would buy private label options, compared with 81% in 2016. And that movement doesn't necessarily represent a trade-down in quality, as fewer consumers were willing to try new, lower-priced brands (74%) than last year (76%).

According to the survey, 75% of all consumers reported store brands were just as good in quality as national brands (representing 83% of millennials and 68% of seniors) and 69% reported store brands were actually a better value than national brands (representing 76% of millennials and 64% of seniors).

Of the 83% who recognized the value in a quality own brand product, millennials were most likely to make that selection, IRI reported. As many as 91% of the echo boomers reported buying private label options, compared with 78% of seniors.

That value proposition is a huge influencer of selection, IRI reported. According to its Consumer Connect survey, 95% selected products that were "able to fulfill my needs at the lowest possible cost" and 82% valued a good selection of store brand products (which includes 86% of millennials).

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