Retail Bombshell: Store Brands Just as Good

YONKERS, N.Y. (TheStreet) -- In what will be both welcome news for private-label brands and heresy for packaged-food makers, a new Consumer Reports' study has found that 23 of 29 store-brand foods tasted just as good, or better than, national brands.

According to the taste test, many food products from Target(TGT Quote), Wal-Mart Stores (WMT Quote) and Costco Wholesale(COST Quote), were rated on par or higher to their counter parts from General Mills(GIS Quote), Kraft(KFT Quote) and Campbell Soup(CPB Quote).

Target's Archer Farms chewy soft bake cookies, Costco's Kirkland signature organic medium salsa and Wal-Mart's Great Value whipped topping were actually preferred to similar products from Pepperidge Farm, Old El Paso, Betty Crocker and Kraft.

These store-brands were also 27% cheaper than big-name rivals. In addition, 70% of those surveyed by Consumer Reports said they were highly satisfied with the quality of store brands they purchases.

-- Reported by Jeanine Poggi in New York.