A new national survey by RDSolutions reveals that 86 percent of U.S. shoppers have switched to private label products for at least some of the items they regularly purchase – underscoring growing price sensitivity amid inflation and looming global tariffs.
Conducted in May among 250 verified U.S. consumers, the survey found that price is the dominant driver of store and brand choice:
- Eighty-seven percent rated price a six or higher on a 10-point scale when deciding where to shop;
- Forty-four percent rated it a nine or 10; and
- Sixty-two percent of shoppers said they would switch stores if they perceived prices to be too high.
“These findings highlight just how central price has become to shopper loyalty – both to retailers and brands,” said Lee Kallman, chief commercial officer at RDSolutions. “Economic headwinds like inflation and tariffs are accelerating changes in consumer behavior. Retailers and manufacturers that don’t respond quickly risk losing share.”
Private label on the rise
In addition to changing stores, shoppers are shifting what they buy:
- Forty-two percent opt for cheaper alternatives when prices rise;
- Twenty percent skip certain items altogether; and
- Only 11 percent stick to their usual brands regardless of price.
More than 86 percent of consumers surveyed buy private label versions of some or most of the products they regularly purchase. Among those who now buy private label, 75 percent say store-brand products are as good as or better in quality compared to national brands.
Value and perception drivers
When asked what defines a “good value” for a food item, shoppers cited:
- Price compared to other similar products – 36.8 percent;
- Size or quantity – 27.6 percent;
- Brand reputation – 12.8 percent;
- Discount offers – 10.8 percent; and
- Organic/natural vs. conventional – 10 percent.
Further supporting the value-conscious mindset, 65 percent said promotions such as buy-one-get-one deals influence their perception of value, and 28 percent are buying fewer items overall as prices rise.
Notably, 84 percent of shoppers said they believe economic conditions – such as inflation or tariffs – are affecting food prices in their area.
RDSolutions webinar and industry comparison
These findings were discussed during the recent webinar “Shoppers’ Perceptual Filters and Their Effect on Food Pricing,” hosted by RDSolutions and moderated by retail analyst Phil Lempert.
The session featured RDSolutions CEO Jake Blondin and CCO Lee Kallman and is available for replay at rdsolutions.io/event/shoppers-perceptual-filters-and-their-effect-on-food-pricing.
Methodology
This report is based on a national survey conducted by RDSolutions. The sample reflects a mix of genders, age groups, household incomes and geographic regions. Data was collected through a structured online questionnaire and is intended to offer directional insight into evolving shopper behavior.
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