The perception of private label brands used to be quite negative. In 2011, 17 percent of U.S. consumers felt PLB's were for people on tight budgets who couldn't afford the best; but due to the economic downturn in recent years, consumers have changed their mind-set on these products. 33 percent of North American consumers have come to the realization that, in terms of quality and value, these products are equally as good as the name brands they used to purchase. As a result, 94 percent of consumers in North America will continue to buy private label products when the economy improves.
Private label brands provide various advantages for retailers. They help control over-pricing of products and services, provide higher control on production, marketing distribution and profits, which in turn helps build value and recognition from their customers.