Walmart Introduces bettergoods, a New Private Label Brand

In an ambitious move set to redefine grocery shopping, Walmart announced the launch of bettergoods, its most significant private label brand introduction in two decades. This new brand aims to make sophisticated, chef-inspired food products accessible and affordable, catering to the evolving tastes and demands of today’s consumers. 

“Today’s customers expect more from the private brands they purchase — they want affordable, quality products to elevate their overall food experience,” said Scott Morris, senior vice president of Walmart’s private brands, food and consumables, in a press release. “The launch of bettergoods delivers on that customer need in a meaningful way.”

The Launch of bettergoods

bettergoods represents Walmart’s largest and quickest food brand launch, showcasing the company’s ability to rapidly respond to market trends. The bettergoods lineup includes a diverse range of products, from plant-based options like mozzarella and organic treats to savory snacks and exotic seasonings, with 70 percent of items priced under $5. The initial product range also spans various categories including frozen foods, dairy, snacks and more, with over 300 items slated for release.

Related: New Snacks of 2024: Discover What’s Coming to the Snack Aisle

Walmart’s Legacy of Successful Private Labels

Walmart is no stranger to the private label sector, with established brands like Great Value that have consistently delivered quality at low prices. Great Value, in particular, has been a cornerstone of Walmart’s strategy. It offers everything from pantry staples to frozen foods, helping the retailer secure a loyal customer base by balancing cost and quality. 

The launch of bettergoods builds on this foundation but introduces a unique twist by focusing on trend-forward, culinary-inspired products that are both accessible and affordable. Walmart is specifically targeting millennials with preferences for oat milk, gluten-free options and trendy flavors like hot honey.

Competition from Other Retailer Brands

The introduction of bettergoods positions Walmart in direct competition with other major retailers’ private labels, such as Target’s Good & Gather and Kroger’s Simple Truth. These brands have also successfully tapped into the market’s desire for affordable, quality food options. 

According to a recent Circana report from March, private label brand sales in the US saw a six percent year-over-year increase, totaling $217 billion in 2023. The report indicates that millennials and Gen X households without children account for 36 percent of store-brand food and beverage sales, with households with children comprising another 35 percent.

As a new entrant to this billion-dollar market, bettergoods differentiates itself by integrating unique, chef-driven products into its lineup, potentially giving it an edge in the crowded private label space.

The Impact of Inflation on Grocery Shopping

According to Statista, the food inflation rate in the US reached approximately 5.8 percent in 2023 and is projected to drop to around 1.3 percent this year. Despite this decline, prices for many food items are expected to continue rising.

The launch of bettergoods comes at a crucial time when consumers are feeling the pinch from rising grocery prices and general inflation. With most items priced under $5, bettergoods offers a much-needed affordable option without compromising on quality or flavor. This strategic pricing is likely to appeal to budget-conscious shoppers who are increasingly looking for ways to stretch their dollars further without sacrificing their dietary preferences or enjoyment of food.

Walmart’s bettergoods is set to change the private label landscape by combining affordability with high culinary quality. As inflation continues to challenge consumers, the brand’s focus on value and innovation is more relevant than ever, providing a timely solution for shoppers eager to maintain their culinary standards amidst tightening budgets. 

With its expansive range and competitive pricing, bettergoods is poised to become a key player in the grocery sector, inviting customers to enjoy premium products without the premium price tag.

If you want your company to be featured on Xtalks.com, please email [email protected].