The Surprising Companies Behind Your Favorite Store Brands

Have you ever picked up a store-brand product and wondered if it’s just as good as the big name right next to it? You might be surprised to learn that in many cases, they are made by the exact same company. This article reveals the well-known grocery brands that are actually produced by major national companies.

The Secret World of Private Label Manufacturing

Before we dive into specific examples, it’s helpful to understand why this happens. Why would a company like General Mills or Kimberly-Clark produce a product for a store like Walmart or Costco? It’s a business strategy known as private labeling or co-packing, and it benefits everyone involved.

For the major manufacturers, it’s a way to maximize their factory output. They might have excess production capacity that would otherwise sit idle. By producing a similar product for a grocery chain, they can keep their machines running, reduce their per-unit costs, and generate revenue from a different market segment without diluting their own brand’s premium image.

For the grocery stores, it allows them to offer high-quality products to their customers at a lower price point. They don’t have to invest in building factories or research and development. They can simply contract with an expert manufacturer to create a product to their specifications. This builds customer loyalty and offers a competitive alternative to name brands.

The result for you, the shopper, is often a product that is nearly identical in quality to its name-brand counterpart, but for a fraction of the price.

Famous Store Brands and Their Big-Name Makers

Here are some of the most popular and well-known store brands and the major companies that are widely reported to be behind them. While these relationships can change over time and are often not officially advertised, industry reporting, recalls, and product similarities have given us a clear look behind the curtain.

Costco’s Kirkland Signature

Kirkland Signature is arguably the king of store brands, known for its exceptional quality. Costco holds its private label to an incredibly high standard, often co-branding with major companies or ensuring the product meets or exceeds the quality of the leading national brand.

• Kirkland Coffee: Some of Kirkland’s popular coffee blends, like the House Blend Medium Roast, are roasted by the Starbucks Coffee Company. The packaging often confirms this, stating it’s custom-roasted by Starbucks.
• Kirkland Batteries: For years, Kirkland Signature batteries have been manufactured by Duracell. This has been confirmed through various reports and even statements from Costco’s CEO. You get the power of a leading brand at a significant discount.
• Kirkland Diapers: The manufacturer behind Kirkland Signature Diapers is Kimberly-Clark, the same company that makes Huggies. Parents often note the similar fit, feel, and performance between the two brands.
• Kirkland Tuna: The Kirkland Signature Solid White Albacore Tuna is supplied by the global seafood company Bumble Bee Foods.
• Kirkland Pet Food: The popular Kirkland Signature dog and cat food is made by Diamond Pet Foods, a large manufacturer that also produces other well-regarded brands like Taste of the Wild and Diamond Naturals.

Walmart’s Great Value & Equate

Walmart’s Great Value brand covers a massive range of food products, while its Equate brand handles health and beauty. Both rely heavily on major manufacturers to fill their shelves.

• Great Value Milk: In many regions, Walmart’s milk is processed and supplied by the nation’s largest dairy producers, such as Dean Foods.
• Great Value Bread: Companies like Sara Lee and Bimbo Bakeries, which own many of the country’s top bread brands, have been known to produce bread for Walmart’s Great Value line.
• Great Value Mac & Cheese: While not officially confirmed, the taste and texture of Great Value’s macaroni and cheese are remarkably similar to Kraft’s, leading to widespread belief that Kraft Heinz is a manufacturing partner.
• Equate Products: Many of Equate’s health and personal care products are made by Perrigo, a leading global producer of over-the-counter store-brand products. This means your Equate pain reliever or allergy medication is likely made by the same company that supplies many other major drugstores.

Trader Joe’s Unique Approach

Trader Joe’s has a different model. Nearly everything in the store is a Trader Joe’s branded product. They achieve this by sourcing unique items directly from top-tier food producers and putting their own quirky label on them.

• Trader Joe’s Pita Chips: These popular snacks are made by Stacy’s, which is owned by Frito-Lay (a division of PepsiCo).
• Trader Joe’s Organic Shells and White Cheddar: This customer favorite is produced by Annie’s Homegrown, which is owned by food giant General Mills.
• Trader Joe’s Cultured Salted Butter: This butter, which has a cult following, is made by a well-respected dairy producer in a similar style to many European butters.
• Trader Joe’s Soups: Many of their ready-to-eat soups in cartons are made by the same companies that produce other organic and natural soup brands you see in other stores.

Kroger’s Simple Truth

Kroger, one of the largest grocery chains in the U.S., has had massive success with its Simple Truth and Private Selection brands. Simple Truth focuses on organic and natural foods.

• Simple Truth Organic Milk: Like other grocery chains, Kroger sources its organic milk from major dairy cooperatives that also package milk for other national brands.
• Simple Truth and Private Selection Products: Kroger operates its own manufacturing facilities for many items like bread, dairy, and drinks. However, for many other specialized products, they partner with the same national brand manufacturers that produce the items they compete with on the shelf.

Frequently Asked Questions

Is the store-brand product exactly the same as the name brand? Not always. Sometimes the manufacturer will use a slightly different recipe or formulation for the store brand. However, it is made in the same facility, often on the same equipment, and with similar quality control standards. The core quality is usually very comparable.

How can I find out who makes a specific product? It can be difficult, as these agreements are usually confidential. However, you can sometimes find clues. Look for a “manufactured for” or “distributed by” address on the label. For dairy and cheese products, you can often look up the plant code printed on the package to find the location of the dairy.

Is buying the store brand always the smart choice? Financially, it often is. Store brands don’t have the massive marketing and advertising budgets that national brands do, and they pass those savings on to you. By choosing a store brand made by a reputable manufacturer, you are getting a high-quality product for a much lower price.