Bed Bath & Beyond launches thousands of new products to entice splurging homebodies as its continues a massive pivot to private brands

• Bed Bath & Beyond is launching three new private brands in June.
• Our Table, Wild Sage, and Squared Away will all focus on some aspect of home goods.
• The new brands will offer items around kitchenware, décor, and organization.

Bed Bath & Beyond is introducing three new brands to capitalize on consumers' obsession with home, as the retailer continues to push through its product overhaul to cut down "bloat" and boost value.

The company previously announced its intent to increase its owned-brands sales penetration to 30% from 10% in three years. Last quarter, Bed Bath & Beyond launched brands Simply Essential, Haven, and Nestwell. Four more as-of-yet-unannounced private brands will hit shelves in future quarters, as part of the company's ongoing transformation plan.

To accomplish that goal, the company's latest slew of new brands will focus on the home. Throughout the pandemic, shoppers have focused on home improvement, splurging on everything from decorations to major home hardware. Our Table will offer shoppers 1,100 products in the kitchenware category, from utensils to linens to cookware and bakeware. Wild Sage is an "expressive" décor brand targeted toward younger consumers - namely Gen Z-ers in dorms, or millennials moving into their own apartments - with 600 products for the bedroom, bath, and other living spaces. Squared Away is a line of 300 products around storage, organization, and cleaning. The company is slated to release all three brands this quarter, starting in June.

Insider spoke with Bed Bath & Beyond Chief Merchandising Officer Joe Hartsig about the company's new wave of owned brands. He said the the brands are intended to help "solidify our authority in this huge $180 billion home market," while driving value and attracting new customers.

"The reasons owned brands matter is that they help us differentiate by providing products that are only available at Bed Bath & Beyond," he told Insider. "The breadth of owned brands for all these different spaces and rooms and price points - with different styles and materials - can help differentiate us because of the quality and the value proposition."

Hartsig said that the company still considers national brands an important element of its business, but the focus on private brands allows it to cut out the "middleman" and pass on savings to shoppers.

"A lot of retailers lean into owned brands or private brands, and it does help drive additional margins while providing that great price to customers," he said.

He added that by growing gross margins for its shareholders, Bed Bath & Beyond can "reinvest that money back into supply chain transformation, store remodels, new technology platforms that we're developing, and so on."

"This was all designed with purpose," Hartsig added. "The quality of the products and the price points and the connection to modern day design and trends - it's all really great and emblematic of the new Bed Bath & Beyond."