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PRIVATE LABELS
Private brands capturing a growing share of health and beauty market
By our African Marketing Confederation News Team | 2025
This expansion is an increasing threat to established brands, forcing them to differentiate through trust, quality and emotional connection.
The expansion of retailer private brands in South Africa is relentless and the threat to established brands is undeniable, says a new research report on the country’s health and beauty sector.
Photo: Clicks
For example, the Clicks national retail chain has been a key driver of private brand momentum, with over 31% of its front shop sales attributed to private labels.
The Health & Beauty Report, compiled by retail research and insights company Trade Intelligence, notes that by mid-2025 personal-care product growth at Clicks was “significantly supported by a remarkable +20.5% increase in private brand sales”.
“This expansion presents a growing threat to established health and beauty brands, forcing them to differentiate through trust, quality and emotional connection, or risk losing share to competitively priced alternatives,” notes Andrea Slabber, Insights Lead at Trade Intelligence, in a post published on the company’s website.
“The health and beauty industry in South Africa is being reshaped by the interplay between consumer needs, private brand expansion and digital influence.
“For brands, staying relevant requires sharper channel strategies, stronger shopper engagement, and innovative approaches to defend against rising retailer power. Success depends on tailoring range, promotions, and innovation to align with the specific shopper mindset in each distinct retail environment.”
Research before purchase is the new norm
Among the other findings of the report is that healthcare shopping is becoming increasingly research-driven. Almost 90% of shoppers conduct pre-shop research, with this figure rising to 98% among younger shoppers aged 18-24.
“Retailers’ digital platforms are often the first point of influence, which raises key questions for brand owners: how can their messaging break through to ensure visibility in this retailer-controlled conversation? How can you ensure your message reaches your consumers when the path to purchase starts online, long before the shelf?” Slabber writes.
“The answers lie in a nuanced, channel-specific strategy informed by shopper mindsets.”
Shopper behaviour differs notably across retail formats, the report finds. For personal care, Clicks and Dis-Chem (a national pharmacy and retail chain) are seen as stock-up destinations for deals, while online platforms serve both for value-driven bulk buys and as discovery hubs for new products.
Healthcare shoppers, meanwhile, use pharmacies for specific needs but lean on online platforms for planning and browsing.
You can read more about the report here.
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