Private Label vs. the Leading Brand: How Much Do You Really Save?

By מערכת סופרקליר · 2026-07-09 · 2 min read

6.9% — Private label's share of sales in Israel, versus about 36% in Europe — per the State Comptroller (2024)

There's a way to save at the supermarket that costs almost no effort: take the chain's private label instead of the familiar brand. So why do so few Israelis do it? The answer tells a whole story about our food market.

What is a private label, anyway?

A private label is the product a chain sells under its own name — the cottage cheese, pasta or toilet paper of "Shufersal" or "Rami Levy" instead of a well-known manufacturer's. According to Calcalist, Shufersal and Rami Levy are the big players here: back in 2020, private label already made up about a quarter of Shufersal's sales and about 20% of the sales of Rami Levy's food arm.

The Israeli gap

And here comes the surprising number. Per the State Comptroller's report, as Calcalist covered, private label's share in Israel stands at just 6.9% — versus about 36% in Europe. We simply don't buy it.

Why? Part of the reason is concentration: per TheMarker, three suppliers control 99% of the whipped-cream market, 93% of instant coffee and 87% of breakfast cereals — when the strong brands fill the shelf, it's hard for private label to break in. And part is simply habit: an article in Maariv describes a "blind brand loyalty" that keeps things as they are.

How much do you really save?

Here you need to be careful — there's no single magic number. In a Ynet test of 60 products, the private label was cheaper in 83% of cases, by anywhere from about 10% to 65% per product. But in 9 products it was actually more expensive. An important bonus: the Bank of Israel found that when a major supplier raised prices in February 2024, brand-name products rose by about 5%–15% — while private label barely moved.

Private label is usually cheaper — but not always, and not for every product. The only rule: check on the shelf.

Keep in mind, too, that the historic gap of 30%–40% has narrowed in some categories, and that sometimes the difference is in quality or package weight — so compare price per unit, not just the sticker.

What you can do

Private label may be the simplest saving tool you're not using. On your next shop, grab a private-label version or two, compare the price per unit, and taste it. If it works — you've saved, without giving up a thing.

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