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How Inflation is Reshaping Grocery Shopping Habits in America

Key Insights from Recent Surveys

A recent survey by LendingTree reveals a fundamental shift in how Americans approach grocery shopping due to rising inflation. A striking 88% of respondents have altered their purchasing habits, with notable changes including a move towards generic or store brands and a significant reduction in impulse buys. Financial stress is palpable, as 61% of participants express anxiety about affording groceries, while 59% report dining out less frequently. Interestingly, 55% have also adjusted their tipping practices. These trends cut across various demographic lines; even among high earners, 85% of those making over $100,000 are adapting their shopping behaviors.

If you’ve been resisting that impulse buy while grocery shopping, you’re not alone.

According to the LendingTree survey, nearly 90% of Americans are reassessing their grocery trips in light of inflationary pressures. Matt Schulz, chief credit analyst at LendingTree, underscores this trend, pointing to the 88% figure as a noteworthy indicator of widespread change.

“Consumers tend to be brand loyal, often sticking to familiar stores and products,” Schulz explains. “However, with rising prices, many are finding themselves in a position where tough choices and sacrifices are necessary.”

Changes in Grocery Shopping Routines

The survey indicates that 88% of Americans have made adjustments to their grocery shopping routines, a slight increase from 85% in 2022. Notably, 44% are now opting for store or generic brands, while 38% are actively avoiding impulse purchases that were not included on their shopping lists. This shift has implications for the so-called “little treat culture” that many participate in during grocery runs.

Gender differences are also evident: 85% of men report changing their shopping habits, compared to 91% of women. Furthermore, the changes are not limited to lower-income households; even those earning above $100,000 are witnessing a shift, with 85% acknowledging adjustments to their grocery habits.

At the point of sale, 44% of consumers rely on debit cards, while 25% use credit cards, and 16% opt for cash payments. The remaining 14% utilize SNAP benefits through EBT cards.

Dining Out Less Frequently

As financial concerns loom large, the inclination to dine out is declining. A substantial 61% of survey participants express stress related to grocery affordability, leading 59% to eat out less often. Remarkably, 87% report dining out once a week or less, with 22% indicating they haven’t dined out in the past month.

When they do choose to eat out, Americans’ approaches to tipping have also shifted. Approximately half of the survey participants, along with 72% of Gen Z respondents, acknowledge that inflation has influenced their tipping patterns. Almost 30% of them report tipping less than they typically would.

Strategies for Managing Grocery Costs

For those feeling the financial pinch, there are various strategies to help mitigate rising grocery bills. Buying staples in bulk, particularly through warehouse retailers like Costco or Sam’s Club, can contribute to savings. According to a prior LendingTree study, purchasing larger quantities can lead to average savings of 27%, especially on non-perishable items like paper towels.

Additionally, shopping for the best credit card offers can provide rewards and discounts, while also helping to build a stronger credit score. Seeking additional income through side jobs or aiming for a raise at your primary employment may also aid in filling any budget voids.

This survey paints an evolving landscape of consumer sentiment regarding inflation and its broader economic implications.

Practical Tips for Cost-Effective Grocery Shopping

If switching grocery stores isn’t an option for you, exploring various cost-saving methods could prove beneficial. Experts advise establishing a clear budget by analyzing your income and setting specific financial goals, including your monthly food expenditures.

Consider visiting your local farmers’ market to discover seasonal produce, which often comes at a lower price. Additionally, assessing deals at grocery stores could reveal significant savings, particularly when buying uncut packages of meat and portioning them yourself.

You might also explore apps like Flashfood or Misfits Market, which offer discounts on imperfect produce. If dining out is off the table, consider utilizing TooGoodToGo, a platform allowing you to purchase discounted meals from local restaurants.

Through these collective adjustments, consumers are actively navigating the challenges posed by inflation and its impact on daily life.

Source
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