No-name products used to have a bad rap in the '70s, says Business Insider. Back then, their quality was questionable, but things have changed over the past decades. Nowadays, generic products are often just as good as name brands. The reason they're cheaper is that most store brands spend less on research and development, marketing, and advertising than national brands.

Food companies, for instance, test hundreds of ingredients and recipes to create their products. They also invest millions in branding. From packaging and labeling to online advertising, every detail matters. Store brands simply stick new labels to existing products to keep the costs low, notes Money Crashers. This allows them to pass on the savings to their customers.

As far as medications go, generic drugs have the same strength as their brand-name counterparts. When a new drug is launched, its manufacturer has already spent a lot of money on research, testing, advertising, and so on. The final product is protected by a patent that prohibits other companies from selling the same drug under a different name (via the FDA). Once the patent has expired, anyone can manufacture and sell the product. Generic drugs must meet the same quality and safety standards as the original version.