Private label products are gaining significant ground in Canada, according to insights from a recent conversation with Elliot Morris, Partner at EY Canada. Drawing on findings from EY’s Future Consumer Index, Morris highlighted that Canadian shoppers are embracing store-brand products at a faster rate than consumers in other parts of the world.
The global survey, which included responses from 25,000 participants, revealed that twice as many Canadians are now purchasing private label goods compared to five years ago. Notably, nearly 40% of those who make the switch don’t plan to return to traditional branded items.
New data from the EY Future Consumer Index reveals just how quickly this shift is taking hold in Canada:
- 59.9% of Canadians say they’d consider private label for fresh food
- 57.7% are open to private label for home & household care
- Both are above global averages, signaling that Canada is moving faster than most toward private-label adoption.
Morris attributed this trend to a combination of persistent inflation, pandemic-era supply chain issues, and the ongoing threat of U.S. tariffs—all of which have pushed consumers to reevaluate their shopping priorities. Price and quality are now front and centre, with brand loyalty taking a back seat.
He noted that private label growth is particularly strong in categories such as beauty, personal care, snacks, and confectionery. These areas, once dominated by well-known brands, are seeing consumers increasingly opt for affordable and high-quality alternatives.
The shift is also transforming retail environments. In stores, private labels are claiming more prominent shelf space. Online, they benefit from expanded visibility through e-commerce platforms, giving consumers more opportunities to explore options beyond established brands.
Morris emphasized that this evolving landscape presents a challenge for legacy companies. Many are still relying on strategies developed during the pandemic and inflationary periods, which may no longer resonate with today’s value-driven shoppers. However, he also sees opportunity: brands that innovate authentically, build trust, and target new customer segments can still thrive in this new era of consumer choice.
Mario Toneguzzi
Mario Toneguzzi is Managing Editor of Canada’s Entrepreneur. He has more than 40 years of experience as a daily newspaper writer, columnist, and editor. He was named in 2021 and 2024 as one of the top business journalists in the world by PR News. He was also named by RETHINK to its global list of Top Retail Experts 2024 and 2025.
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