What are the Advantages of Private Labeling in the Snacking Industry?

There was a time when consumers hid their private-label food items from their friends and neighbors. They were perceived as cheap and lower quality than name-brand items. Times have changed, however, and consumers are embracing private-label foods more than ever before. Now is the time to take advantage of private labeling in the competitive snacking industry.

The Business Benefits of Private Label Snacks

According to data from business advisory firm AlixPartners, private-label brands have grown at double the rate of national brands. What has driven that trend? The numerous business advantages that include:

Reduced competition:

Because private-label brands are made specifically for the wholesaler, it cuts competition with name brands and complicates the process competing retailers must use if they wish to try and undercut your pricing.


When you choose to private-label your own brand of snack foods, you deal directly with suppliers, offering you more control over the supply chain process as well as pricing, merchandising and marketing.


Customers must come to your store to get the item; they can’t go to a competitor.


The products you sell under your own name reinforces the brand identity you’ve worked hard to create, strengthening customer loyalty and name recognition.

Increased margins:

Private-label snacks are more profitable since you eliminate the middleman. Private products are also typically cheaper to make, reducing expenses and increasing money in your pocket.

Perceived value:

Today’s shoppers want the most for their money. Private label brands are, on average, priced 29 percent lower than national brands. The right packaging and merchandising can make customers feel assured they are getting more bang for their buck with the private product.

The Key to Private-Label Success

It is simply not enough to choose private labeling. Customers may buy a product based on price, merchandising or perceived value, but if they open that snack and find it to be sub-par quality, they won’t purchase it again. The right products from the right supplier are the keys to private-label success.

For over 30 years, Mister Snacks has been a national leader in the private-label snacking business. We work closely with our clients to help them choose high-margin items that are packaged and merchandised to create a positive customer experience. We work with wholesalers and distributors, convenience stores, retail stores, gift shops, food service companies, brokers and even international businesses looking to grow their bottom line.


If you are ready to learn more about the ways private label snack foods can help you achieve your goals, contact Mister Snacks today.