Private Label Gains Momentum as FMCG Focuses on Quality and Innovation

Monday, 18 May, 2026 Food From Poland 48/2026
Private label products are no longer seen merely as lower-cost alternatives to branded goods and are increasingly shaping the direction of the FMCG market. Manufacturers agree that success in this segment today depends not only on scale and competitive pricing, but above all on quality, innovation, agility and the ability to build strong partnerships with retail chains.
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Julita Sipa
Export Manager
ZPC BRZEŚĆ


From a manufacturer’s perspective, the private label segment is both an opportunity of scale and an area of significant operational and negotiation challenges. The key challenge remains margin pressure – retail chains, as brand owners, dictate pricing conditions, limiting profitability and supplier flexibility. High quality and logistical requirements, as well as the need to respond quickly to changes in demand, further raise operating costs and the barrier to entry.
At the same time, the growing importance of private labels is opening up manufacturers’ access to large volumes and stable contracts, which promotes capacity optimization. The ability to innovate is also increasingly important – chains today expect not only low prices, but co-creation of premium, organic and functional products.
Growth prospects are positive, especially for specialized and flexible companies that can combine cost efficiency with quality and innovation. In the long term, manufacturers who build partner competencies, not just executive competencies, will gain an advantage.



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Renata Ferenc
Co-owner and Board member
ROS-SWEET


The private label market has entered a stage of mature growth. Today, it is no longer determined solely by price, but by value for money, the pace of innovation and the ability to build distinct segments – premium, functional and sustainable. In Europe, the share of private label has exceeded 38% of sales value, and in Poland it has reached over 24% and is growing (NielsenIQ). However, the key change is occurring on the consumer side, private labels have ceased to be a compromise, they have become a conscious choice.
As Mintel points out, social media shortens the distance between inspiration and purchase, and private label has a natural speed of deployment advantage over manufacturer brands, thanks to shorter product development cycles.
In an environment of accelerated trends, manufacturers combining operational scale with flexibility and agile novelty deployment are winning. Forecasts for 2026 and beyond show further share growth, especially in the value-for-money and premium segments. By 2030, private label’s share in Europe could approach 40%.



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Marta Uszyńska-Kongiel
Marketing Manager
HAL


The private label market in Europe has reached a level of maturity. Poland remains several steps behind the leaders, but the growth dynamics clearly indicate a further approach to the European average.
The most important change today is the redefinition of the role of private label. It is no longer just a price alternative, but a full-fledged offer including premium segments, organic or functional products. As a result, consumers are increasingly guided not by the manufacturer’s brand, but by the quality-to-price ratio.
The development of private labels significantly affects the entire FMCG market. It strengthens the position of retail chains, which take control of the shelf and the relationship with the customer, and at the same time puts strong cost pressure on manufacturers. In practice, this leads to a polarization of the market – on the one hand private labels are growing, on the other strong premium brands are maintained, while the medium segment is losing its importance. From the perspective of manufacturers, this is a challenge and an opportunity.
Private label can be expected to continue to grow in importance in the coming years. A key factor will be the continuing price sensitivity of consumers and the growing competence of retail chains in building quality and innovation in their brands.



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Piotr Kozak
Director of Sales
and Marketing
 Ecowipes


The private label segment remains one of the fastest growing areas of the FMCG market, recording systematic growth and increasing its share in total sales. However, such dynamic growth comes with significant challenges. Cost pressures and the need to maintain competitive prices while ensuring high quality and product innovation play a key role. At the same time, there are growing demands from retail chains for production flexibility, shorter runs and rapid response to changing consumer needs.
On the other hand, we see significant growth potential, especially in the area of sustainable solutions, where private labels are increasingly setting the stage for market changes. Today, private label is no longer seen as a budget substitute for well-known brands, but as a strategic product – an element of building competitive advantage, and increasingly in the premium segment. Private label products are visibly driving innovation in the FMCG sector and are enjoying growing consumer confidence.



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Łukasz Knapowski
Commercial Director
AKSAM

The development of private labels is one of the most important structural changes in the FMCG market, which creates a new space for cooperation between producers and retail chains. For manufacturers this means, on the one hand, increasing price pressure and weakening of traditional advantages such as brand strength, but on the other hand, a real opportunity for growth. A conscious choice of strategy becomes crucial: develop strong brands or actively participate in private label projects. Both paths can effectively complement each other within a sustainable business model.
Private labels allow you to increase the scale of your business, make better use of production capacity and build long-term relationships with trading partners. They also give access to the shopping basket of customers, who are increasingly driven by optimal value for money. In this context, the manufacturer faces a simple choice: whether it wants to be part of this change or cede space to competitors.
Success in this area requires operational flexibility, speed and investment in product development.
Manufacturers who are able to combine efficiency with flexibility have a chance to strengthen their position and become key partners for retail chains.



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Dorota Bielicka
Director of Trade & Marketing
U Jędrusia


Private labels are an important and integral element of growth for manufacturers today. This is a segment that requires the highest standards of quality, repeatability, timeliness and rapid response to the changing needs of retail chains and consumers. From our perspective, success in this area is based on partnership, understanding of the market and the ability to combine competitiveness with high product quality. Taste is also an important element – that’s why we tailor recipes and flavor profiles to the specifics of a given market and the preferences of consumers in each country. We see that consumers are increasingly turning to private label brands, so we see this segment as a real opportunity for long-term development and joint value creation with trading partners. At the same time, we are not giving up on building our own brand and its position in the market.



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Marek Osuchowski
Director of Trade
and Marketing
Wielkopolski Indyk

Today’s private label market in Europe is no longer just a battle for volume, but above all for security and trust. Private Label shares in the shopping baskets of Poles and Europeans are breaking new records, in many categories becoming the first-order choice. This growth is forcing us – a manufacturer with nearly 60 years of experience – to evolve into a strategic partnership.
A key trend today is to be fully open to the unique product strategies of retailers. The challenge for a large turkey producer is not to produce the goods themselves, but to understand the DNA of a given chain and provide “tailor-made”solutions. In an era of risks such as HPAI, the professional trade is looking for predictable partners that guarantee operational stability.
Our know-how and quality control at every stage – since 1967 – is the foundation on which we build joint success with merchants. The future of the segment belongs to suppliers who can combine production scale with artisanal precision in tailoring the composition or packaging format to the specific needs of the modern consumer.



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Piotr Kubiczek
Commercial Director
Fanex


The private label market in Poland and Europe is evolving dynamically. Increasingly, they are created by large, experienced and trusted brands, which use their technological facilities, know-how and quality control for the needs of retailers. Key trends include premiumization, the development of functional and clean label categories and the growing importance of a consistent consumer experience – regardless of the sales channel. Private label is ceasing to be solely a pricing alternative and is becoming part of the value-building strategy of retail chains.
From a manufacturer’s perspective, the challenge may be to reconcile flexibility with the highest standards of quality and repeatability – something we at Fanex consider a priority. At the same time, the prospects for growth are very good, especially for companies operating at the interface between foodservice and retail. An example is Fanex sauces, present both in large food service outlets and in retail with food service area. This experience allows us to create private label solutions that meet the real needs of the market and consumers.



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Grzegorz Sobociński
CFO and Proxy
Helio


From the point of view of Helio S.A., Poland’s largest private label producer in the nuts, nuts and cake mixes category, the private label market in Poland and Europe is developing very dynamically and is one of the key pillars of modern retailing. Helio S.A. has for years observed the growing importance of private labels, which are increasingly the first choice of consumers thanks to their high quality, repeatability and attractive value. The segment of products such as nuts, nuts, dried fruits and cake mixes, in which Helio S.A. plays an important role as an experienced and specialized supplier to retail chains, is growing particularly rapidly. Helio S.A. is the largest private label supplier in Poland in its category. The cooperation with retail chains is based on stability, reliability of supply and a flexible approach to merchants’ needs, which allows us to jointly develop a competitive private label portfolio. Helio S.A. consistently strengthens its position, responding to the changing expectations of the market and consumers, and actively supports retail chains in building a strong private label offering, remaining a key partner in its category.



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Karol Pilaciński
Export Director
Bogutti


The private label market in Europe currently reaches about 40-42% share of FMCG sales in the largest Western European countries (the so-called EU6), while in Poland it exceeds 30% and maintains a stable growth trend. In the sweet snacks segment, we are observing a significant change, private labels are developing not only in the price area, but are increasingly competing on quality, recipe and refined packaging. The key directions are premiumization, development of products inspired by global trends and convenience formats. From an export perspective, the importance of operational flexibility, speed of deployment and the ability to create products tailored to specific local markets is growing. For manufacturers, this means the need to constantly raise standards while remaining cost-competitive. The private label segment remains one of the key drivers of growth in the FMCG market, driving both sales volumes and the development of international cooperation.



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Ksenia Siakas
Industry Director
Greek Trade


Private labels are competing more and more effectively with branded products – not only in price, but also in quality. With the rising cost of living, consumers are more willing to choose cheaper but proven alternatives. This is a huge opportunity for the Private Label segment, but at the same time a challenge – as expectations are growing regarding quality, transparency of composition and sustainable production. We are also seeing a dynamic increase in interest in functional, organic and tailored products for specific dietary needs. At Greek Trade, we actively support retail chains and distributors in creating strong private labels, offering products that meet these needs. The potential of the sector – both in the Polish, European and global markets – is significant, but fully exploiting it requires flexibility, innovation and the ability to respond quickly to changing trends. With more than 30 years of experience, state-of-the-art production facilities and comprehensive services – from recipe development to logistics – we effectively support our partners in building modern, competitive private labels.



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Magdalena Szabłowska
Export Sales Director
MLEKOVITA Group


Privat label market in Poland is growing and increasing shares rapidly. Geopolitical situation, inflation, and wars have accelerated growth. Market share in FMCG in Poland is around 25%. Privat label Model helps Polish producers in international expansion and Export growth. This is driven by several structural advantages. First, Poland has got high manufacturing quality aligned with EU standards. strong expertise in categories like food and dairy. Mlekovita is the biggest exporter of dairy products in Poland. We are supplying private label products to major European retail chains. We expanded into Germany, UK, Central & eastern Europe. We are increasing our presence in Middle East, Asia, and Africa. Privat label is now a partnership model not just outsourcing. We are involved in co-creation of products. MLEKOVITA has got 23 laboratories and research center to ensure safety and quality of products on every step of production prosses. Export costumers expect polish producers to develop recipes and formulations, designing packaging and to follow trends. Mlekovita is investing in R&D and branding capabilities to gain a major competitive advantage. Being the Food Quality Leader, MLEKOVITA has been working in accordance with international quality management systems for the benefit of consumers since 1998.



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Martyna Olszewska
Export Director
“Pol-Hun” M. Bielska

The development of private labels in the category of cleaning products strongly influences the entire FMCG market, as it is in this product group that consumers are particularly careful to compare prices, effectiveness and efficiency. Private label is no longer just a budget choice; today it increasingly offers quality comparable to manufacturer brands, while also responding to growing expectations for convenience, safe use and greener ingredients. For retail chains, it is an important tool for building loyalty and differentiating their offering, and for manufacturers, it is a stimulus for further innovation and clearer brand positioning. As a result, the category as a whole is growing faster and competition is shifting from a simple price battle towards better alignment of products with the real needs of households and consumers’ everyday shopping habits.



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Mokate Group
Management


Private labels are shaped by multiple forces. High living costs and price sensitivity are pushing shoppers towards store brands, and retailers are supporting this shift with clear price ladders and quality improvements. Discounters, whose assortments are almost entirely own label, set the competitive pace and compel full line supermarkets to respond. Notably, retailer own label is no longer the poor cousin – once dismissed as cheap, it is now winning hearts. This shift is led in part by young, value seeking shoppers who favour plant based, protein rich and eco friendly goods. In Poland, shoppers value private labels that cater to local and organic preferences and embrace convenience products and healthy snacks. Younger households and urban consumers are an important catalyst, but they are only one part of this shift. Flexible partnerships with manufacturers mean ideas can go from concept to shelf faster. For producers, private labels offer stable volumes but require agility, efficiency and investment in new product development to stay relevant in a fast evolving market. The lesson is clear: success depends on innovation and education – when own label products exceed expectations in quality and transparency, they build loyalty and can even command a premium.



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Paweł Majchrzak
Chief Operating Officer, 
Member of the Board
GIBAR


The development of private label brands is strongly influencing the entire FMCG market, mainly by speeding up innovation and putting even more focus on consumer needs. Today’s consumers expect not only good prices, but also high quality, convenience, and products that fit their lifestyles - from healthier options to functional snacks.
In this fast-changing environment, manufacturers need to act quickly, stay flexible, and make bold decisions. It is no longer enough to follow trends - companies need to help create them. At Gibar, we see this as a chance to grow by offering modern, unique products that truly meet changing consumer expectations.
As a result, the FMCG market is becoming more innovative, competitive, and focused on consumers.




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