Natural Grocers, a specialty grocery chain, recently introduced six new private label flavors of organic, plant-based soup. These soups, priced at $4.49, are gluten- and dairy-free, and come in 14-ounce shelf-stable pouches. The flavors include butternut squash, creamy tomato, sauerkraut, sweet corn, three lentil, and vegan chili bean, all made without artificial ingredients or preservatives.
The decision to expand the private label offerings is part of Natural Grocers’ growth strategy. Private label products accounted for 8.4% of the company’s sales in the fourth quarter of fiscal 2024, up from 7.8% in the same period the previous year. The company’s co-president, Kemper Isely, highlighted the success of the private label strategy during an earnings call in November, noting that the house brand now includes over 800 products.
In the latest quarter, Natural Grocers added 19 new private label items, including limited edition coffee flavors, frozen pizza varieties, and household products. Throughout 2024, the company introduced a total of 80 private label products, demonstrating a commitment to expanding its in-house brand offerings.
This focus on private label expansion aligns with the retailer’s overall strategy to increase the proportion of sales coming from house-branded goods. In addition to the new soups, Natural Grocers previously launched private label products such as mustard and canned seafood in 2023.
The introduction of these new private label soups reflects Natural Grocers’ dedication to providing high-quality, affordable options for customers seeking organic, plant-based products. By offering a variety of flavors and ensuring that the soups are free from common allergens and artificial additives, the company aims to meet the needs of health-conscious consumers.
As the retail landscape continues to evolve, private label products have become an increasingly important aspect of grocery chains’ strategies for growth and differentiation. By expanding its private label offerings and increasing the percentage of sales from house-branded goods, Natural Grocers is positioning itself for continued success in a competitive market.
The rollout of these new private label soups is just one example of how Natural Grocers is leveraging its in-house brand to drive growth and customer loyalty. With a focus on quality, affordability, and innovation, the company is poised to continue expanding its private label portfolio and meeting the evolving needs of its customers.
Overall, Natural Grocers’ expansion of its private label offerings reflects a strategic approach to growth and differentiation in the specialty grocery market. By introducing new, high-quality products that cater to consumer preferences for organic, plant-based options, the company is positioning itself for success in an increasingly competitive retail landscape.