There was a time when private label mostly meant “cheaper alternative.” Not anymore. Private label sales in the U.S. reached a record $282.8 billion in 2025, and store brands grew 3.3%, nearly triple the growth rate of national brands at 1.2%. They also hit all-time highs of 21.3% dollar share and 23.5% unit share. In food and beverage specifically, private label now holds about 23% market share. That is not a side story. That is the story.

Kroger’s e-commerce story just got a lot more interesting.

In late February 2026, the headline finally flipped: Amazon reported $716.9B in 2025 revenue, edging past Walmart’s $713.2B for its most recent fiscal year. That doesn’t mean Walmart “lost.” Walmart’s online business is still growing fast (its global ecommerce sales are now $150B+ annually, with a recent quarter showing ~24% ecommerce growth).

Promotions are supposed to drive velocity. But for many suppliers, promotions also drive something else: short pays. That’s when the retailer pays less than your invoice—often tied to promotional allowances, bill-backs, scanbacks, markdown funds, or price file mismatches. And the money isn’t small.

Mid-February is when “value pressure” stops being a headline and becomes a buyer conversation. And the signals are getting louder. PepsiCo has said it plans to cut snack prices by up to 15% to boost sales—reported in recent coverage tied to slowing snack volumes and consumer price sensitivity.

The confetti falls on New Year’s. Then January hits… and your deduction report looks like a horror movie. That’s not a coincidence. Holiday returns and “excessive defectives” programs are increasingly where retailers manage their risk—and where suppliers quietly lose a lot of money.

In today's economic landscape, where uncertainties loom, and market slowdowns cast their shadow, consumer packaged goods (CPG) suppliers...