Money matters story
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Australians are turning to supermarket-brand goods which are not only cheaper, but equally ranked in quality / Jeff Herbert Source: News Limited
- Private label items 23pc of total spent
- Milk, cereal and bread most popular
- Grocery alcohol offerings set to expand
AUSTRALIANS have developed a taste for store-brand grocery items that are not only cheaper but are equally good in quality, research reveals.
Sales of private-label items from milk to chocolates -- such as Home Brand for Woolworths or SmartBuy for Coles -- picked up during the global financial crisis, when families were looking to cut back on their weekly supermarket bills but still wanted to treat themselves, at a cheaper price.
Today, private-label grocery items account for 23 per cent of the nation's $70 billion grocery markets, The Australian reported.
This is expected to increase to 30 per cent in the next five years, independent research house IbisWorld has forecast.
"The growth in private-label groceries has outperformed traditional branded groceries consistently for quite some time," general manager Robert Bryant said. "In certain sectors, such as dairy, private-label growth has been dramatic, with private-label milk sales rising from 25 per cent of supermarket milk sales in 1999 to a massive 52 per cent last year."
Shoppers have also taken to buying private-label bread, cereal and pet food.
Big Two to up booze offering
Now Woolworths and Coles are looking to roll out more private-label wine and beer for sale in their liquor stores.
Woolworths' private-label selection include Baily & Baily, Crittendon and Vivant wines, Dry Dock and Platinum Blonde beers, Miska vodka and Napoleon 1875 brandy.
Coles's private-label wines include Robinsons Marlborough Sauvignon Blanc and Pensilva McLaren Vale Shiraz and Hammer 'N' Tongs, Maxx Blonde, Tasman Bitter and Tasman Gold beers.
IbisWorld has forecast that over the next three years, sales of private-label wine and beer will double to 20 per cent of all liquor sales.
Woolworths and Coles have also led the charge on gaining a bigger slice of the growing low-carb beer market, threatening Fosters Pure Blond brand.
Since Coles and Woolworths launched their private labels, Pure Blond sales had fallen 15 per cent, Mr Bryant said.
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Shoppers opt for supermarket brands
![home brand](http://web.archive.org./web/20100806180530im_/http://resources3.news.com.au/images/2010/08/06/1225901/938199-home-brand.jpg)
AUSTRALIANS reaching for cheaper store-brand groceries that are equal in quality, study shows.
Shoppers opt for supermarket brands
![home brand](http://web.archive.org./web/20100806180530im_/http://resources3.news.com.au/images/2010/08/06/1225901/938199-home-brand.jpg)
AUSTRALIANS reaching for cheaper store-brand groceries that are equal in quality, study shows.
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