Walmart, already the top-selling grocery store in the U.S., is launching a new grocery brand called Bettergoods. It’s designed to meet the changing tastes and budget-friendly needs of today’s shoppers. Walmart aims to keep up the growth it’s had during times of high prices by introducing this new line, which offers chef-inspired and trendy foods, all priced under $5.
Walmart wants to keep its diverse group of customers, so Bettergoods is targeting younger and wealthier shoppers. Scott Morris, who oversees Walmart’s private brands and food, says they decided to do this after customers asked for more fancy and healthy options.
Bettergoods will offer gourmet foods that are still affordable, meeting the demand for upscale and inspiring items, including healthier, plant-based products.
Bettergoods: Innovating Walmart’s Private Label Strategy
Walmart is adding more of its brands to its shelves at a time when sales of store-brand products are growing across the grocery industry. At Walmart’s Sam’s Club, for instance, about 30% of what’s sold comes from their labels.
The launch of Bettergoods is meant to build on this success, offering a range of items like frozen foods, dairy products, and snacks. Shoppers can look forward to things like creamy corn jalapeño chowder, oat milk ice cream, and chicken nuggets that are both gluten- and antibiotic-free.
The introduction of Bettergoods is a response to both what customers are asking for and what’s happening in the market altogether. During the pandemic, when national brand products weren’t always available, people started trying out the store’s brands.
And now, with prices going up, store brands are becoming even more popular. Brands like Costco’s Kirkland and stores like Aldi and Lidl, which focus on their brands, are seeing more customers.
There’s also a move toward more unique store-brand items. Other big stores like Target and Kroger are doing the same thing with brands like Good & Gather and Smart Way, offering affordable products that are still creative and good quality.
With about 60% of its sales in the U.S. coming from groceries, Walmart is putting a lot of effort into this area. The launch of Bettergoods isn’t just about adding more products; it’s about changing how people see store brands in a competitive market.
By offering innovative and healthy options at lower prices, Walmart is setting itself up to stay ahead of the game while meeting what modern shoppers want.
As things change in the grocery business, Walmart’s strategies and new offerings like Bettergoods could be the standard for what store brands are all about in the future.
