US CPG sales grew by 8.4% year-over-year in 2022, accelerating growth after 2021’s 4.6% rise, according to the 2022 CPG Growth Leaders report [PDF] from IRi and BCG. Sales growth was driven by higher shelf prices in an inflationary period, as sales volume dipped by 1.5% while remaining elevated compared to pre-pandemic levels.
What’s interesting to see in the results is the relatively strong showing put forth by large manufacturers. In 2022 these brands (defined as those with more than $6 billion in annual sales) accounted for 40.9% share of CPG dollar sales, down just 0.5% points from 2021 (41.4%). In fact, the decline in sales dollar share for these large manufacturers has been smaller in the rising inflation (-0.5% points) and high inflation (-0.5% points) periods of 2021 and 2022, respectively, than in the years prior.
This is despite sizable shares of consumers saying that in response to inflation they would buy cheaper brands and more private label brands. Perhaps consumers, instead of substituting brands, simply expected to pay more for groceries and household items.
It is true, though, that private labels rebounded somewhat last year. These brands accounted for 17% share of CPG dollar sales, up 0.4% points from 2021’s 16.6% share, after having fallen from 17% share in 2020.
All told, the combination of private label, extra small ($<100 million) and small ($100m-$1B) manufacturers picked up 1% point of market share last year relative to medium ($1-6B) and large (>$6B) manufacturers.
BCG/IRi used a composite growth index measuring dollar sales % change, volume sales % change and dollar share point change to calculate the standout companies in three size categories, with the results following.
Large Brand (>$6B sales) Growth Leaders
- Constellation Brands
Each of the top 10 large brands had either been a 2021 growth leader or had appeared on the top 10 list some other time in the past decade.
For the #1 large brand growth leader Constellation Brand, Beer/Ale/Alcoholic Cider was the top growth category.
Mid-Size Brand ($1-$6B sales) Growth Leaders
- Sovos Brands
Five of the top 15 midsize brands (including 3 of the top 10) were new to the list for the first time in at least the past decade, including #3 Beiersdorf.
Small Brand Growth Leaders ($100M-$1B sales)
- GHOST Lifestyle
- Scrub Daddy
Here, 6 of the top 15, including 4 of the top 6, were new to the list versus the 2012-2021 period, including each of the top 3 brands.
Read the full study here.
About the Data: Based on IRi data for grocery, mass, club, convenience, drug, dollar and pure-play e-commerce channels.