The rapid rise in gasoline prices affects where consumers shop for food and encourages the use of more economizing behaviors, according to the new Food Marketing Institute (FMI) report, U.S. Grocery Shopper Trends, 2006.
Rising Fuel Costs Drive Economizing Behaviors
Rapidly rising fuel prices are driving shoppers to use more economizing behaviors prior to and during their shopping trips. Nearly half (45 percent) claim that high energy prices have had a direct influence on purchasing habits (52 percent for families with children; 53 percent for single moms). In response, consumers are buying fewer luxury items, cooking more and eating out less.
They are also incorporating cost-cutting measures such as:
– Making a shopping list (46 percent).
– Using frequent-shopper programs (39 percent).
– Checking newspaper specials (36 percent).
– Redeeming coupons (28 percent).
– Stocking up on bargains (23 percent).
– Comparing prices across stores (20 percent).
– Buying store or lower-priced brands (17 percent).
– Combining trips to multiple stores (14 percent).
Cooking Frequency and Food Shopping Enjoyment
Three-out-of-five shoppers (60 percent) like the main stock-up trip to the primary store (the place where the majority of weekly food purchases are made) either somewhat or very much, and only 10 percent dislike this trip to the same degree. For people that enjoy preparing home-cooked meals, 69 percent enjoy the primary shopping trip, compared to 28 percent who do not enjoy cooking. Cooking enthusiasts also spend more per week ($97.40) at their primary store than those who do not like cooking ($69.00).
The report suggests that retailers focus resources on consumers that enjoy cooking by offering recipe suggestions, cooking classes and merchandising focused on meal planning. In marketing to shoppers that have less interest in cooking, retailers should place a strong emphasis on meal solutions that require no or minimal preparation, and fast, convenient checkout options.
Other Key Findings:
– Shoppers make an average of 2.1 visits to the grocery store each week, including an average of 1.6 visits to the primary store. They spend an average of $93.40 a week per household, of which $72.50 is spent at the primary store.
– On a scale of 1-10 where 10 is excellent, consumers rate their primary supermarket an average of 8.0, and 91 percent would recommend their primary store to a newcomer.
– Male and female shoppers behave differently in the supermarket, possess different attitudes toward shopping and use information related to shopping to different degrees. Men plan less, use supermarket information less and emphasize economy less than females. They also place less importance on quality and service, but highly value speed and convenience.
– Full time working women show marked differences compared with women who work part time or are not currently in the workforce. Working women plan less, put less importance on economizing and spend more on their weekly grocery trip.
– Married and single shoppers place different emphasis on grocery shopping. Singles eat out more and cook fewer meals. They pick up grocery items at a variety of places and do not focus as much on economy or planning as their married counterparts.
– Shopping habits vary by age. Older consumers report the greatest amount of planning, the highest usage of information and the greatest emphasis on economy when compared to consumers of all other ages. Generation Xers and Boomers spend considerably more per week, driven by household size and income potential. Younger shoppers prepare fewer home-cooked meals and value speed and convenience more than any other group.