Price gap between supermarket own-label and branded products hits 40%

The price gap between branded goods and supermarkets own-brand food and household products has increased again, according to new research by Dutch consumers association Consumentenbond.

The watchdog says households which switch to supermarket labels can save up to 40% on their weekly shop. A supermarket trolley with 90 every day own-brand products costs around €105, but branded goods would bring a bill of €177. In 2018, the price gap was 36% and in 2017 just 31%.

The increase is due to more than the rise in value added tax from 6% to 9% at the beginning of this year, the organisation said.

For example, Komo plastic rubbish bags rose in price 39% while Unox pea soup was up 30%. The biggest climber recorded was a Blue Band fat for frying, which has gone up in price 48% over the past year.

Manufactures blame higher prices for raw materials and transport for the increase, the Consumentenbond said, adding that some supermarket own label products had also risen sharply in price.

The Consumentenbond researched prices at 15 supermarkets, which together cover 96% of the market. Picnic and some Jumbo stores have the lowest prices for A brands, while discounters Aldi and Lidl have the cheapest own brand products, the organisation said.