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German retail private label competition

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2026-08-25 04:48 UTC → 2026-08-28 16:51 UTC · added ~~removed~~

The German retail market is seeing a significant focus on private label products as retailers compete for consumer trust and price competitiveness. A study by the Deutsche Gesellschaft für Verbraucherstudien found that Aldi maintains high consumer trust, with its private labels winning ten out of twenty-six categories. The retailer’s strategy relies heavily on proprietary brands, which make up approximately 90 percent of its assortment. In response to the dominance of discounters, Edeka has introduced a red price guarantee seal for its ‘Gut & Günstig’ private label. This initiative covers approximately 3,000 items and promises ‘Preisgarantie – immer der günstigste Preis vor Ort’ (Price guarantee – always the cheapest price locally) based on regional comparisons. Because the guarantee is based on local price comparisons with competitors in the immediate vicinity of each specific market, prices may vary by region. The initiative excludes promotional offers and special sales, starting with several hundred high-demand items such as Gouda cheese, salami pizza, and salmon fillets. Edeka’s pricing and labeling practices are influenced by its structure as a cooperative of approximately 3,400 independent merchants, which can lead to price differences between individual stores and discrepancies between shelf prices and checkout totals. Some stores also utilize discount stickers for products nearing expiration to reduce food waste. While Alnatura was identified as the most trusted private label in a study by Porsche Consulting, Edeka’s ‘Gut & Günstig’ and Rewe’s ‘Beste Wahl’ both maintained 15 percent trust ratings. Porsche Consulting also highlighted a growing trend where private labels account for roughly 46 percent of products in the German food retail sector.

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