Spain’s grocery landscape has hit a tipping point: private-label brands—the “marcas blancas”—now command 61.2% of all food spending as of June 2026. Driven by a strategic pivot toward premium quality and a consumer base still shielding itself from inflation, these store brands are no longer just cheap alternatives; they are becoming the primary drivers of loyalty for the country’s supermarket chains.
For years, the narrative around white labels was simple: they were the budget choice for those pinching pennies. But the data from the first half of 2026 tells a different story. According to Circana, the growth isn’t just about price. It’s about a “maturity” phase where store brands are aggressively entering the premium, health-conscious, and sustainable sectors, effectively stealing territory from traditional brand-name manufacturers.
The Psychology of the ‘Premium’ Pivot
We are witnessing a fundamental shift in how Spaniards shop. The “white label” is shedding its image as a compromise. Instead, it’s evolving into a sophisticated tool for supermarkets to build brand equity. Antonio Khalaf, director gerente of Circana, notes that the distributor brand is no longer just a way to gain market share; it now behaves as a brand in its own right, capable of generating genuine loyalty toward the store.
This evolution is most evident in the food sector, which serves as the primary engine for this growth. Sales in value rose by 5.3%, while volume climbed 3.1%, even as prices edged up by 2.2%. The strategy is clear: if you can offer a “premium” organic olive oil or a sustainable plant-based alternative under the store’s own banner, the consumer no longer feels they are sacrificing quality for cost.
The dominance is even more pronounced in the drugstore and cleaning categories, where store brands have nearly captured 65% of the total market share, growing at a rate of 3.4%. It seems the Spanish household has decided that for bleach and detergent, the supermarket’s logo is more than enough.
Where the Big Brands Still Hold the Line
Despite the landslide, the “big brands” haven’t been completely wiped out. They have a fortress: beverages. According to Circana’s analysis, beverages remain the primary bastion for manufacturer brands, which still control 65.5% of spending in this category.
Why? Because drinks are where “brand strength, innovation, and differentiation” carry the most weight. Whether it’s a specific cola or a heritage beer, the emotional connection and perceived quality gap are wider here than they are with a bag of frozen peas or a bottle of dish soap. For now, the “ritual” of the brand still outweighs the utility of the white label in the drinks aisle.
The ‘Short-Assortment’ Engine and the Inflation Shield
If you want to know who is really driving this trend, look at the “surtido corto” or short-assortment chains—the discounters. Data from Worldpanel by Numerator through May 2026 reveals that these chains are the primary catalysts for the rise of private labels.
Across the board, 47.2% of all packaged household products purchased in the first five months of the year were store brands. In the specific realm of packaged food, that number jumps to 48.6%, and in drugstore products, it hits 56.3%.
The economic reality is that consumers are using these brands as a financial shock absorber. While inflation has moderated following the conflict in Iran, the pricing gap persists. Worldpanel’s analysis suggests that manufacturer brands have been passing on higher price increases to the consumer, making the store brand an irresistible hedge against a shrinking paycheck.
Out of ten major supermarket chains analyzed, nine have seen their value share in private labels increase. Only Consum remained stagnant, holding its share at 37.3%.
The New Battleground: Convenience and Sustainability
The next frontier for these retailers isn’t just lower prices—it’s “complete responses.” The goal for executives like Khalaf is to ensure a customer finds everything they need within a single chain, removing any incentive to visit a competitor.
This means expanding into categories where there is still “room to run,” specifically focusing on health, wellness, and convenience. We are moving toward a “closed-loop” ecosystem where the supermarket controls the production, the branding, and the shelf space. This vertical integration allows them to pivot faster to trends—like the sudden surge in sustainable packaging—than a global conglomerate can.
The real question now isn’t whether store brands will continue to grow, but whether the traditional manufacturers have any moves left to play. If they can’t innovate faster than the supermarkets can copy, the “bastion” of beverages might be the only thing left standing.
Does your pantry reflect this shift? Are you sticking with the legacy brands for the sake of taste, or have you fully migrated to the store label for the value? Let us know in the comments.
