Walmart's Jet.com to roll out private-label grocery brand
By Lisa Fickenscher
Competition in supermarket space heats up
Walmart's e-commerce site Jet.com is preparing to launch its first private-label brand, with plans to introduce more than 60 food and household items in the coming months, The Post has learned.
Competition in the U.S. supermarket space has shifted into high gear of late, with Amazon (AMZN) buying Whole Foods this summer and German discount chains Aldi and Lidl expanding rapidly across the country -- largely on the strength of their private-label groceries.
In response, Walmart (WMT) is leaning on its online ace, Jet.com, which it bought last year for $3 billion to beef up its digital presence.
The Jet.com private label merchandise "will be better quality than many of the national name brands," said retail consultant Burt Flickinger, who is familiar with the company's plans.
Earlier this year, Walmart began selling its private label brands, Great Value, Equate, and Sam's Choice on Jet.com. But industry experts say the brands are not popular with Jet.com's younger customers.
"Walmart is where consumers go to buy branded products for less, but everyone is getting into private label now and Walmart has to elevate its offerings," said Steve Johnson, of Foodservice Solutions.