Americans are not spending more dining out than for groceries, contrary to a report by Bloomberg. They are, however, not always doing so at their local supermarket. The 87-year old Food Institute has been tracking retail sales of food for decades and restaurant and bar sales in March did outpace sales at grocery stores by about $2.54 billion. However, consumers spent about $25 billion more for groceries at other retail venues selling food and consumable products that were not included in the numbers used in the Bloomberg article.
Breaking it down, The Food Institute estimates $17 billion more was spent for groceries at warehouse clubs and supercenters, another $6 billion at other food retailers like butchers, bakers and specialty food stores, approximately $1.5 billion at drug stores, and nearly half a billion online.
Adding the above into the mix puts actual grocery sales at around $75 billion in March - 42% more than eating and drinking place sales. And that doesn’t even include groceries sold at mass merchandisers like Walmart and Target’s traditional locations.
In 2014, 30% of shoppers said their primary store for food shopping was not a grocery store, but rather a supercenter, a warehouse club or a discount store reported FMI. And that is exactly what is being reflected in the data but unfortunately it makes it more difficult to track the food retailing industry as a whole.
How would you like to see us present the data as a result of this evolution? What would be the most helpful to you in running your business?
Forbes examined 60 of the best brands across the U.S. for franchisees to invest in, partnering with franchise industry research firm FRANdata. To develop the rankings, researchers delved into the system sustainability, system demand, value for investment, franchisor support and franchisor stability for each brand.read more
McDonald’s is modernizing its locations around the world, introducing new menu items and expanding its technology offerings as part of an overall growth plan for the company.read more
Brian became president of The Food Institute in 2002 and has worked for this non-profit, founded in 1928, since 1980. Brian has been interviewed on consumer and food industry trends on a number of television programs, including Fox News, The Today Show, NBC News, the CBS Evening News and the PBS Nightly Business Report, and quoted in publications ranging from The Wall Street Journal and New York Times to Supermarket News, Progressive Grocer and Food Processing magazine. He has also been a frequent guest on various Public radio programs discussing food prices, mergers & acquisitions, and other industry issues.
Brian graduated from Ramapo College in Mahwah, NJ with a B.A. in Political Science and also holds a Masters in Administrative Science from Fairleigh Dickinson University.
There are no comments, yet. Why don't you add one?
10 Mountainview Road
Upper Saddle River, NJ 07458
Food Institute reps are available to answer your questions
BECOME A MEMBER
For close to 90 years, The Food Institute has been the best "single source" for food industry executives, delivering actionable information daily via email updates, weekly through The Food Institute Report and via a comprehensive web research library. Our information gathering method is not just a "keyword search."