Consumers are saving on groceries by switching channels and shifting priorities, though many shoppers are raising alarm on inflation and tariffs, FMI - The Food Industry Association shared in its 2025 US Grocery Shopper Trends report.
The annual grocery trends report surveyed more than 2,000 US consumers about their priorities and issues impacting their shopping habits.
Most consumers (75%) said they are in some control over their grocery expenses, despite macroeconomic conditions, FMI stated. However, 90% of shoppers said that they were somewhat, very or extremely concerned about rising food prices, while 78% said the same about tariffs, FMI added.
Self-reported grocery bills inched higher in the first couple months of 2025, reaching $170 in February, compared to $159 last September (the lowest point in more than a year), FMI reported.
“While concerns are high, shoppers still feel they at least have some control over their household spending, although that confidence has taken a bit of a hit since September of last year. To navigate this complex economic environment, resilient shoppers continue to find ways to save and stretch their food dollar further than they did in the past,” Leslie Sarasin, president and CEO of FMI, said in a webinar.
Gen Z prefer mass, boomers head to supermarkets
Consumers are embracing an omnichannel approach to find the best deals, increasing trips into brick-and-mortar and online.
Consumers frequent grocery stores 5.2 times on average in 2025 compared to 4.9 trips in 2024, according to FMI data. Additionally, 67% of shoppers purchase groceries online at least occasionally, up from 64% in Feb. 2021.
Boomers prefer tried-and-true channels, like supermarkets, while younger consumers – especially Gen Z – turned to mass retailers, like Costco and Sam’s Club, with younger consumers over-indexing in shopping at drug and convenience channels.
Almost all Boomers (86%) shopped at supermarkets, compared to 80% of Gen Xers, 75% of Millennials and 73% of Gen Zers, per FMI data. Conversely, Gen Z shoppers were most likely to shop at mass channels (78%), compared to 65% of Boomers.
Additionally, 41% and 39% of Gen Z consumers shopped in drug and convenience channels, respectively. On the other hand, only 5% of Boomers shopped at convenience stores and 17% bought groceries at drug stores.
Fresh categories viewed as top priorities
Regardless of channel, consumers are trading off health and nutrition, entertainment, exploration and convenience, Sarasin explained. Convenient foods (i.e., foodservice and prepared) often come with a premium price, which consumers might swap for less expensive at-home options due to economic concerns, Sarasin explained.
“Shoppers are strategic about the tradeoffs they must make between cost, time and energy spent. And while rising prices may have lowered the value of convenient foods to a degree, shoppers still find ways to justify these expenses,” Sarasin elaborated.
Most consumers view fresh categories, like fruits and vegetables, milk or non-dairy substitutes and fresh chicken, as essentials, with 69%, 66% and 60% of shoppers calling them “basic food needs,” FMI reported.
“When we talk about needs versus discretionary spending, the store perimeter or the fresh departments tend to dominate the conversation,” said Steve Markenson, VP of research and insight for FMI. “Fresh produce, milk and fresh meat and seafood dominate the top spots on a list of those basic needs. On the other end of the spectrum, you have sit-down dining, fast-food, restaurant and alcohol beverages – those categories that shoppers view as occasional splurges.”