Private label continues to strengthen its position in US grocery. According to PLMA and Circana, private label unit sales grew 0.3% in the first eight months of 2026, while national brands declined 0.7%. Private label now accounts for 23.5% of unit share and 21.1% of dollar share, both record highs. 

Value now extends beyond price, shaped by rising expectations around nutrition and transparency. Shoppers increasingly expect cleaner ingredients, healthier snacks, functional benefits and products aligned with specific dietary needs. Retailers are using private label to meet these expectations with speed and scale, reshaping how health shows up across the store. 

Health-led private label ranges 

Retailers are developing new health‑led private label ranges that cut across multiple categories. Walmart’s bettergoods spans frozen, dairy, snacks, beverages and pantry staples, built around culinary experiences, plant‑based eating and made‑without formulations such as no artificial flavours, colours or added sugars. 

Hy‑Vee’s Nothing But the Truth, launched in January 2026, takes a broad clean‑label approach, excluding more than 150 ingredients and emphasising organic, plant‑based, non‑GMO and lower‑sugar options. 

Together, these ranges show how retailers are raising ingredient standards and building modern nutrition cues into private label. 

Protein and fibre become foundational to private label strategies 

The increased use of GLP‑1 medication is influencing how many Americans eat, shifting spending away from carb-centric staples toward protein-dense meals, protein- and fibre-forward snacks, and functional nutrition. Numerator data shows GLP‑1 users buying fewer pantry staples and more intentional, nutrient‑rich items, and retailers have responded quickly. 

Kroger’s Simple Truth Protein, launched in 2025, is a great example. Each product must be free from more than 101 restricted ingredients and meet the “good source of protein” threshold through PDCAAS testing. Kroger introduced more than 110 products in its first year of launch, positioning protein as a core pillar of its wellness strategy and signalling that private label can lead, not follow, nutrition trends. 

Meijer has taken a similar approach, adding 300 new private label items focused on high protein and high fibre. More than 120 products already deliver 5g or more of fibre per serving, with True Goodness anchoring the retailer’s fibre‑first positioning. Meijer frames this as helping customers meet health goals without compromising affordability, reinforcing the idea that wellness and value can coexist. 

Clean‑label reformulation becomes a competitive standard 

Shoppers are increasingly scrutinising ingredient lists, driving demand for transparency and simpler formulations. Retailers are using private label to set new standards, sometimes ahead of national brands. 

Walmart has committed to removing synthetic dyes and 30 additional ingredients from its entire US private label food portfolio by January 2027. Although 90% of Walmart’s private label food items are already free from artificial colours, the remaining 10% requires reformulation and testing of more than 1,000 products. This level of scale effectively sets a new industry benchmark. 

Target is also moving decisively, removing synthetic colours from its cereal aisle and positioning itself as one of the first national retailers to make this shift. These moves highlight private label’s agility and show how retailers can define their own ingredient standards and move faster than national brands. 

Clean‑label reformulation is quickly becoming part of how retailers compete. Private label is increasingly used to demonstrate leadership on ingredient integrity and build trust with health‑conscious shoppers. 

Functional snacking accelerates across the market 

Demand for healthy snacking continues to accelerate, driven by demand for protein, fibre, prebiotics, probiotics and other functional benefits. 

Pharmacy retailers have become strong players in this space. According to Numerator, CVS’s Well Market, a better‑for‑you private label range focused on healthier snacks and functional beverages, was the second fastest‑growing private label in the US in 2025. Walgreens has also expanded into better‑for‑you snacks through its Nice! label, offering an evolving selection that emphasises protein, fibre and functional attributes. 

Convenience is moving in the same direction. In 2026, 7-Eleven saw a decline across discretionary categories including unhealthy snacks, sugary beverages and alcohol, led by moderation and a shift towards healthier products. In its April 2026 investor report, 7‑Eleven outlined its aim to double private label sales to roughly US$2.6 billion by 2030, with a key focus on expanding “high‑growth categories” such as nuts and seeds, hydration and functional beverages, and protein drinks. Together, these moves show how healthier snacking and performance‑led drinks are becoming core to private‑label strategy across channels. 

Medically tailored and diet‑specific ranges emerge 

Retailers are beginning to develop medically tailored and diet‑specific ranges for shoppers managing chronic conditions or using GLP‑1 medications. 

Launched in February 2026, Hy‑Vee’s Dietitian Dishes became one of the first medically tailored meal lines developed by a US grocer. It offers over 15 frozen entrées, designed by registered dietitians, targeting heart disease, diabetes and GLP‑1‑aligned eating. Prominent “Dietitian Friendly” cues help shoppers navigate complex dietary requirements, and the retailer’s pharmacy and dietitian teams help shoppers turn clinical dietary advice into practical, ready‑to‑eat solutions. This development shows how private label is evolving beyond lifestyle wellness into clinically informed nutrition. 

What this means for suppliers 

Retailers’ health‑driven private‑label strategies have direct implications for suppliers. 

Reformulation pressure will intensify as retailers remove artificial colours, dyes and additives. When one retailer announces progress on cleaner formulations or protein‑forward innovation, others tend to follow quickly. Natural colours and cleaner ingredients are generally more expensive, requiring careful balancing of margins, pack sizes and promotional strategies.  

Quality assurance becomes more critical as reformulated items must undergo rigorous sensory testing to ensure they match the original product experience. Clear communication will also matter, helping shoppers understand what has changed and why, and highlighting the health benefits of newly reformulated products. 

Shelf‑space will become another pressure point. As grocers expand protein‑focused assortments to meet rising demand, space for non‑protein products will tighten. In smaller stores, where resets are more constrained, losing even a few facings can have a disproportionate impact on suppliers, making early alignment on category strategy increasingly important. 

Retailers and suppliers need to stay focused on what comes next, with further innovation expected in probiotics, gut‑health products, more convenient nutrient‑dense on‑the‑move formats, and growing interest in fibre, collagen and creatine. 

Looking for deeper insight on how private labels are evolving and how brands are fighting back? 

Subscribers can read our reports on:  

• Evolution of global private label trends. Navigating global private label growth trends in 2026 onwards, beyond just price into true added value. 

• How brands drive growth in a value-driven market. Examining the key drivers of brand success and how brands can succeed despite the industry challenges that face them. 

Also join our live webinar on 17 September, where our expert analysts will explore these global private label trends and the strategies leading brands use to defend and grow share. Learn what’s driving performance across markets, and how to position your brand for success in a rapidly changing retail landscape.