Mike's Super Valu, an independent grocery in Watford City, N.D., run for 29 years by Mike and Sue Tschetter, has been acquired by Coborn's. The St. Cloud, Minn., chain is expanding in North Dakota and will transfer Mike's Super Valu employees to a Cash Wise store being built in Watford City.
Private labels likely will continue gaining market share this year as more European retailers launch and expand them. Research from the Private Label Manufacturing Association shows growing support for private-label products, and some predicted that store-brand sales will increase 23% this year.
New York-based Gristedes has signed a deal with Wakefern Food Corp. that would allow the Red Apple Group division to purchase more than 7,000 ShopRite private-label items and branded nonfood products. "We were looking for a supply agreement that would allow us to be more competitive in today's environment," Red Apple CEO John Catsimatidis explained.
About 95% of Cott's sales come from store-branded products it makes for such retailers as Harris Teeter, Stop & Shop and Wal-Mart. The success of the maker of private-label beverages is attributed to attractive packages, unique flavors, competitive prices and CEO Frank E. Weise, analysts say.