Clock icon 8 min read Calendar icon Jan 29, 2025

How Inflation is Reshaping Grocery Shopping in 2025

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Trends in Grocery Shopping Habits Amid Rising Food Prices 

Rising food prices have significantly impacted U.S. consumers in 2024. With inflation once again on the rise, we conducted a survey of U.S. grocery shoppers to better understand their current attitudes and behaviors. Our survey, conducted in January 2025, polled 500 respondents and uncovered trends in shopping frequency, store choices, price sensitivity, and the role loyalty programs play in today’s grocery shopping environment.

Download the report here


1.  Shopping Frequency - Once a Week or More

If you’re visiting the grocery store weekly, you’re not alone. Nearly half of the respondents (48%) reported shopping weekly, while 30.2% make 2–3 trips per week. This is about more than just con- venience - it’s strategy. Half of the respondents shop at two different stores each month, and a quarter visit three or more. Why? Consumers are shopping around to stretch every dollar, as seen in the findings below. Supermarkets remain the go-to destination for 88% of respondents; however, wholesale clubs are also gaining popularity, drawing in 42% of shoppers.


2.  Price - Hunting for the Best Deals

Price remains a critical factor driving shopper behavior. An overwhelming 75.2% of respondents said the primary reason for choosing one store over another is simple: it offers the best prices. This explains why 36% of respondents switched to dollar or discount stores in 2024, with 66% citing lower prices as their main reason. Many shoppers are also comparing prices before making purchases—15.6% always compare retailer prices, and another 25.8% often do the same. Discounts and deals reign supreme, with 65.2% shopping during sales and 59.4% using coupons to save money.

Key impacted grocery items or categories that consumers have stopped buying or reduced purchasing due to rising costs

  • Eggs: Most frequently mentioned. Consumers view eggs as overpriced and have reduced or stopped purchasing them altogether. Several responses indicate eggs are now treated as a “luxury,” with people waiting for sales or substituting alternatives.
  • Meat: Many have cut back on fresh meat purchases or switched to cheaper options like ground beef, chicken, or plant-based proteins (beans, lentils). Premium cuts of beef (steak, ribs) and special- ty items like deli meats or seafood are particularly impacted.
  • Dairy: Milk and cheese prices are another pain point. Yogurt was also highlighted, especially single-serving items.
  • Snacks & Treats: Products like chips, cookies, ice cream, and soda are often described as non-essen- tials that can be reduced or cut entirely. Healthier snacks (e.g., nuts, whole grain items) are being avoided due to cost.
  • Produce: Fresh fruits and vegetables were mentioned as becoming increasingly unaffordable, leading some to buy less or prioritize longer-lasting items.

Key behavioral changes that consumers made due to rising costs

  • Switch to Cheaper Alternatives: Store brands (e.g., Great Value) are frequently mentioned as a replacement for name brands. Many have turned to discount sections or bulk purchases.
  • Focus on Essentials: Shoppers are prioritizing core items needed for meals and cutting out luxuries or experimentations with new products.
  • Cooking More at Home: There’s a noticeable trend toward making meals from scratch rather than purchasing prepared or prepackaged foods.
  • Waiting for Discounts/Sales: Sales play a significant role, especially for meat, eggs, and other high-cost items.
  • Health vs. Budget Trade off: Many families have shifted toward cheaper, less healthy options (e.g., more processed or shelf-stable foods).

Consumer sentiment due to rising costs

  • Frustration and Resentment: Many respondents expressed anger about rising prices and their inability to afford basic groceries. Some even framed it as a crisis, referencing malnutrition or economic strain.
  • Resilience and Adaptability: On the other hand, some respondents noted they’re managing by budgeting better, changing habits, and making sacrifices (e.g., cutting luxuries).
  • Unchanged Shoppers: A small but notable group claimed no changes to their purchasing habits, indicating financial resilience or prioritization of food spending over other expenses.

3. RETAILER LOYALTY PROGRAMS -  Are they Moving the Needle?

While loyalty programs can be enticing, they don’t appear to be a major driver for most respondents. Only 20.2% said these programs were very influential in their decision-making. That said, coupons or deals tied to loyalty programs are the most popular perk (29.5%), followed by cash- back or points (24.3%) and discounts on store-brand items (18.3%).

Learn how to turn marketing into sales with a well-executed consumer promotion. Read our guide to explore, how they work, the benefits, and more.

4.  BUDGET ADJUSTMENTS - Tightening the Belt

Rising food prices are forcing many consumers to rethink their grocery budgets. Over the past six months, 43.2% of respondents said they’ve somewhat reduced grocery spending, while 15.6% reported making significant cuts. Despite these efforts, 40.6% of respondents reported spending 0–25% more on groceries in 2024 compared to the previous year.

 

5.  SHOPPERS’ BIG CONCERN - Food Prices

It’s no surprise that 80.4% of respondents identified rising food prices as their top concern. This reality is reshaping how people shop, from seeking out discount stores to comparing prices more carefully and leveraging sales and coupons. These behaviors highlight the financial pressures households face and the creative ways shoppers are taking control of what and where they buy.

Key changes consumers would like to see in 2025 at grocery stores to help save money

  • Lower Prices:
    • A significant majority want lower prices on essential items like milk, eggs, bread, fruits, and vegetables.
    • Customers seek reductions in both name-brand and generic products. Some suggest rolling back prices to pre-pandemic levels.
  • More Sales and Promotions:
    • Frequent mentions of buy-one-get-one (BOGO) deals.
    • More targeted promotions, especially on healthy and essential items. Better sales on meat, produce, and bulk items.
  • Coupons:
    • Easier access to digital and in-store coupons.
    • More relevant coupons for items customers frequently purchase.
    • Desire for automatic discounts without requiring apps or manual clipping.
  • Transparency and Trust:
    • Complaints about perceived "price gouging" and lack of price reductions when cost factors drop.
    • Calls for stores to pass savings from suppliers directly to consumers.
  • Loyalty and Rewards:
    • More incentives for regular shoppers, including loyalty programs and senior discounts.
    • Offers such as cash back, points, or percentage-based discounts for bulk purchases.
  • Store Practices:
    • Reduce “shrinkflation” (smaller package sizes for the same price). Stock more affordable store brands or generic options.
    • Discounts on items nearing expiration to minimize waste.
  • Healthy and Sustainable Options:
    • Increased availability of healthy, organic, and non-GMO items at competitive prices.
    • Discounted pricing for nutritious foods to encourage healthier eating.
  • Operational Changes:
    • Improved inventory management to avoid stockouts of sale items.
    • Streamlined processes for customer convenience, including fewer digital-only offers.

Takeaway

The grocery shopping landscape in 2025 is dynamic as consumers navigate rising costs and shifting priorities. While supermarkets still dominate, the growing shift toward discount stores and a sharper focus on deals reflect a new era of cost-conscious shopping. For CPG brands, this highlights the importance of consumer promotions and delivering value. Brands that can strike the right balance by providing value that increases overall spending without simply subsidizing normal buying behavior are poised to build loyalty and drive sales among increasingly cost-conscious shoppers.

See the full results of the 'How Inflation is Reshaping Grocery Shopping in 2025' here

Stay top of mind with inflation conscious consumers with the right combination of engagement, promotions and loyalty strategies. Contact us to discover how our best-in-class promotions and loyalty solutions can help to deliver value, drive sales and engage your customers.