Under the glaring enormity of their trademark blue banner, the largest retail behemoth in the United States, Walmart, has announced the unveiling of “Bettergoods,” their most ambitious venture in relation to the depth and diversity of store-label foods in over two decades. The new line caters to a burgeoning consumer demographic, which exhibits little to no brand loyalty, favouring instead chef-inspired cuisines that are priced for affordability.
Unveiling their wares with a bold dénouement amid brick-and-mortar and virtual aisles alike, Bettergoods has an initial offering of 300 diverse food items. Scheduled to hit shelves by the upcoming fall season, the gastronomic litany will encompass frozen goods, diverse dairy offerings, a plethora of snacks, myriad beverages, an extensive variety of pastas, soups, coffee, and enticing chocolate. Walmart has discerningly priced these items anywhere from slightly under $2 to $15, with the majority falling comfortably under the $5 mark.
The new line will be divided into three distinct categories to meet varied consumer needs and tastes. Plant-based alternatives are a highlight with luscious desserts whipped up with oat milk and intriguing non-dairy cheeses. A variety of other dietary options will include gluten-free products, those devoid of artificial colorings, sweeteners or flavors. Last but not least, the brand will offer a range of “culinary experiences”. These will comprise of items such as the punchy flavorful creamy corn jalapeno chowder and authentically sumptuous pasta sourced directly from Italy.
This initiative comes on the back of rising inflation, forcing customers to opt for less expensive choices, ultimately elevating the popularity and demand for private-label brands. Bare statistics from the highly reputable market firm Circana corroborate this trend with the rise of private brands accounting for nearly 26% of the overall market share in the food and beverage category, a marked improvement from the previous year’s 24.7%.
According to Circana’s research, core pantry items, which covers essentials such as breakfast meats, baking goods, fresh bread, and salty snacks, attributed 36.6% of the market share to private brands. These statistics suggest a shift in customer preference, veering towards higher quality private brands.
This increasing trend towards store brands has been swiftly mirrored by Walmart’s competitors, including Target, who are sprucing up their own labels as a response. Target has witnessed colossal growth with its “Good & Gather” food and beverage label since its inception in 2019, adding delectable dishes such as chicken tikka masala.
Retailer competitors also face a mounting threat from grocers, such as Trader Joe’s, who provide customers with a myriad of high-quality meals and snacks.
Bettergoods stands at the vanguard of Walmart’s efforts to lure in customers, joining forces with its other popular private labels, including Great Value and Equate. In contrast, Bettergoods is poised to introduce its customers to a unique palette of flavors and trends, which are unique to the Walmart brand.
Walmart’s senior vice president of private brands, food, and consumables, Scott Morris, noted the perceptible shift in consumer trends, “As an industry, we’re witnessing younger customers prioritizing quality and value, and displaying an increased interest in private brands,” he said. It is to these shifting tides of consumer preferences that Walmart raises its sails, navigated by its myriad private brands.
