US consumers spend less on food in the face of inflation

Early indications are that US consumers prefer cheaper food alternatives, such as lower-priced brands and private label options. A Rabobank report notes that discount supermarkets are benefiting from increased price sensitivity at the expense of premium and natural food stores.

According to the report, the traffic of discount retailers will increase between 10% and 15% in 2022. “In addition to inflation, the rapid expansion of discount store openings has contributed to increased sales,” the report points out.

The report also states that avocado prices tend to fall after several consecutive months of high values. The abundance of supplies from Mexico, “potentially at a record level,” will reduce the possibility of a price increase in the coming months.

Source: blueberriesconsulting.com

Photo source: Dreamstime.com


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