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Walmart on Wednesday announced a redesign of its Great Value private label, which spans nearly 10,000 grocery and consumer product items.
This is a major packaging overhaul of a 30-plus-year-old brand that will take place over the next two years, “beginning with salty snacks and expanding category by category,” the retail giant said in a press release.
Great Value’s aesthetic hasn’t been revamped for over a decade. The new labeling is designed to be seen more easily online and in stores, and information like nutrition facts will be displayed more consistently across the assortment, per a press release. However, Walmart Vice President of Creative David Hartman told CNBC that the update addresses the fact that many customers don’t like how Great Value’s labels look in their own pantries.
Walmart is a leader in U.S. consumer product private label penetration, according to a recent research note from Wells Fargo analysts led by Edward Kelly. The U.S. lags behind Europe’s, leaving room for growth, they said.
The analysts surveyed 30 high-frequency packaged food items at nine retailers in a single market. When price is the top consideration, Aldi and Walmart offer the best basket of goods and together offer half of the lowest-priced SKUs. Private label prices at Amazon and Dollar General are more than 30% higher, per the survey.
Opening price point is gaining importance, especially among lower-income households, Wells Fargo analysts said.
“In food retail, the battle for wallet share is fierce as consumers stay selective amid macro headwinds,” they said. “Retailers are reshaping their value propositions to match evolving priorities, leaning into sharp opening price points with expanded private label offerings.”
The changes coming to Walmart’s Great Value are largely cosmetic, though.
“Great Value has earned customers’ trust over decades, and while the brand is getting a fresh, modern look, what’s inside isn’t changing,” Scott Morris, senior vice president of private brands at Walmart U.S., said in a statement. “Customers will continue to find the same trusted products at the same Every Day Low Prices they rely on.”