How will food inflation redefine holiday gifts? – AgFax

Rising food prices are likely to redefine holiday shopping this year. New research from Center for Food Integrity (CFI) examines the effect of inflation on consumer purchases.

“They’re looking for ways to keep the comfort and nostalgia of the holidays while being mindful of the impact on their pocketbook,” Mickey French, CFI’s executive director, said in a release.

According to CFI’s latest Illuminate Digital Cultural Insights study, conducted in partnership with FMI, the Food and Beverage Industry Association, consumers are looking for higher quality products at lower prices. Illuminate’s research uses digital ethnography that analyzes millions of online conversations in real time.

How much is your time worth?

Consumers also estimate what their time is really worth in inflation. Because of this, CFI said consumers are weighing which shopping conveniences are worth the expense during the busy holiday season.

For example, are online grocery purchases worth the shipping fee? For families with young children and those who work more than one job, delivery can help them save time and gas by eliminating a trip to the store.

“According to FMI’s Grocery Shopper Trends: Holiday Shopping report, 45% of consumers are most concerned about rising food prices compared to other holiday expenses,” said Steve Markenson, FMI’s Director of Research and Evaluation, Food Industry Association. liberation. “Fortunately, most shoppers indicate they are in control of their grocery budget, with 71% of consumers making some adjustments to their holiday shopping to adapt to the changing economic landscape. This shows that shoppers can still find budget items to suit their needs.”

Disrupted shopping patterns

The pandemic has had a significant impact on shopping, leading to more changes for food retailers and shoppers, Markenson said.

In preparation for the holidays, shoppers are looking for ways to save money on groceries by choosing discount retailers and name brands. They also buy in bulk and with coupons.

“The review provides valuable information for the food system to understand and anticipate consumer needs as the food system works to ensure everyone has access to food that fits their needs and budget,” added French.

Inflation is also affecting gift giving, forcing shoppers to redefine “luxury.”

“They prefer emotional feelings of luxury, such as comfort and well-being, instead of high price tags,” she said.

This means they make room in their holiday budgets for small, affordable luxuries that stand out from their everyday purchases for themselves and others. This year they also choose practical gifts.

Inflation and rising prices affect consumers at all levels, French said. The study found that low- to middle-income consumers and people with children were the most likely to talk about this topic.