Fresh Food in Stores Has a Declining Share of Sales

Fresh Food in Stores Has a Declining Share of Sales

A new global survey of retailers from the Nielsen Perishables Group titled Why Retailers are Keeping it Fresh concludes that diversification of retail channels where fresh food is purchased and a slowly contracting fresh market share for supermarkets is a big trend in teh USA.

The report includes online and in-person surveys of 87,000 people in 58 countries.  Pver  half of those surveyed blamed higher prices for cutting their fresh food purchases.

The report also predicts by 2017 USA retail fresh dollar market share for supercenters/hypermarkets will climb to 15 percent, and increase of one percent fromlast year.  The share of fresh sales at U.S. warehouse clubs will rise to 12 percent by 2016, up two percent from 2012.   However,  the share of fresh sales at USA supermarkets will decline from 66 percent last year to 64 percent by 2016.

Consumers in America shop for fresh foods about 1.4 times per week, compared with the average of 2.5 times per week for all global consumers.

In Asia, the report notes fresh foods — bakery, deli, meat, produce and seafood — account for as much as 60 percent of consumer expenses on food, grocery and personal care items. European consumers spend an average of 53 percent on fresh foods as a share of total food and grocery purchases.  By contrast, American purchses of  fresh foods account for just 30percent of consumer expenditures on food, grocery and personal care items. Fresh produce accounted for 32 percent  for fresh category sales in the USA, second only to the meat department’s 39 percent share.