Deloitte released its annual report on the fresh food industry. The report was based on a survey conducted in July of 2,054 adults and examines what is impacting consumers’ fresh food purchases.
Deloitte found that while consumers are mindful of higher prices, they also continue to put a premium on foods that benefit their health and wellness. The report also discusses how food producers and grocers can adapt to drive new opportunities.
“Despite inflation and rising food costs, consumers are willing to pay for fresh food that will positively impact their health and wellness,” said Daniel Edsall, principal, Deloitte Consulting LLP. “Amid increasing competition, fresh food producers and retailers have the opportunity to introduce consumers to healthy choices and use food as medicine. Grocers who can close the information gap between fresh food and its health outcomes can be better positioned to win over consumers — and compete on aspects other than price.”
Some of the key takeaways from the report include:
- Shopping stress is back on the rise. Nearly half (48%) of consumers consider in-store shopping more stressful than last year, up 8% from a year ago. Concern over rising food prices (53%) is the leading cause of stress.
- Amid rising costs, price dictates consumer choices. Most (85%) prefer food options that are low in price, up five percentage points from 2021, and price is the top consideration for consumers purchasing fresh food (92%).
- Consumers will still pay for the health benefits of fresh food. Eighty-four percent of consumers consider health and wellness when purchasing fresh food. Further, more than half (55%) are willing to pay a premium for foods they see as contributory to their health and wellness.
- In search of a deal, shoppers are expanding their horizons. One-third of consumers now say they shop multiple stores to find the best prices, and one in five have changed their primary store to a lower-cost outlet.
- Consumers trust grocers. More than half of consumers trust their grocer to provide data about the safety, origin and nutritional properties of fresh food (56%) and correctly use and protect their personal data (54%).
Deloitte provides audit, consulting, tax and advisory services to many of the world’s most admired brands, including nearly 90% of the Fortune 500 and more than 7,000 private companies. Building on more than 175 years of service, its network of member firms spans more than 150 countries and territories.