A growing number of supermarket shoppers are turning to private label products to cut grocery costs, but new research from Canstar Blue has revealed the big name brands that Australians simply couldn’t do without.
In January, Canstar Blue reported that the majority of Australian consumers are now favouring home brand groceries over big name brands, with the number favouring the cheaper alternatives rising sharply from 44% to 65% in the space of just six months.
Not only are more shoppers favouring private labels when given the choice, but perceptions about the quality of cheaper groceries are also changing, with three-quarters (76%) of supermarket shoppers of the opinion that home brand products from Coles, Woolworths and ALDI are ‘good quality’. That’s up from 59% over the same period.
But despite Australia’s new-found appreciation of supermarket private labels, some big name brands remain top of mind for some consumers, even if they cost more. Canstar Blue asked 3,000 consumers to name the big brands they couldn’t do without and the results were intriguing.
While major international names like Coca-Cola, Cadbury and Nescafé were fairly predictable outcomes, the survey also revealed a strong sense of feeling towards some iconic Australian brands.
“The big supermarkets are focussed on improving their private label groceries and consumers are benefiting from improved quality and low prices,” said head of Canstar Blue, Megan Doyle. “While this is good news for shoppers, it’s putting huge pressure on brand names and there is growing competition for shelf-space. If things continue as they are, only the most popular brand names will survive.
“That’s why we wanted to find out which big brands Australians not only love, but are also happy to pay that bit extra for at the checkout. Private labels are a great option for families on a budget, but in some cases the cheaper replacements just don’t cut it.
“In an ideal world, we would see a healthy mix of leading brand names and local favourites remain in our stores. No one wants to spend more on groceries than they have to, but it’s also important that there is competition and consumers are given plenty of choice.”
As well as big international names, the top 20 also includes a few classic Australian brands, including Arnott’s, Sanitarium, Uncle Tobys, Bega Cheese and Dick Smith Foods. Oh, and Vegemite of course.
While several Aussie brands featured in the top 20 – and some others just missed out – no brand received a greater number of mentions than Cadbury. The British confectionary giant led the way from Arnott’s, Heinz, Kellogg’s, Kraft and Coca-Cola. The complete list of brands that Australian consumers can’t do without was as follows:
- Golden Circle
- Bega Cheese
- Uncle Tobys
- Dick Smith Foods
- John West
“Even though some of the most popular brands on the list are imports, a common theme from the survey was that Australian consumers want to see local brands doing well, particularly those that we’ve grown up with,” said Mrs Doyle. “It’s natural to feel a sense of loyalty to the brands you’ve been buying all your life.”