Summary
The article provides a good descriptive assessment of how consumers supermarket shopping habits have changed in the last 3 months.Nervous, money challenged consumers are more price discriminating than ever before in their food purchases.Private Label sales are growing faster than the category and taking market share.Consumers are increasing their use of stores perceived as discounters. Walmart, Costco, BJ's and dollar stores continue to lead in same sales store growth.
Analysis
The change in consumer grocery shopping patterns has a big impact on both food companies and food retailers.Companies that ignore the value equation do so at their own peril.Rising commodity costs have increased food prices and at the same time economic hardship has forced consumers to be more selective with their food spending.
Value categories like pasta,baking mixes,flour,frozen pizza, oil are leading sales growth in 2009 and this points to more in home consumption and more of a cocooning mentality with todays families.
The supermarket battles will continue between leading brands and their private label counterparts.The best performing companies will be the ones that provide the most value for the consumers not just the lowest price. Top brands will continue to perform well and private label will continue to lead growth. Read more at www.supermarketbattles.com
