• As prices rise, consumers dig into leftovers, putting volumes in a deep freeze

  • Jun 24 2024
  • Length: 21 mins
  • Podcast

As prices rise, consumers dig into leftovers, putting volumes in a deep freeze By cover art

As prices rise, consumers dig into leftovers, putting volumes in a deep freeze

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  • Summary

  • Volume picture better for restaurants than packaged food

    Food companies are seeing negative volumes, both in their grocery businesses and their food service businesses. The volume picture looks a bit better for the largest restaurants but it's also sluggish. Consumers seem to be economizing more than they were a year or two ago, one way is by eating more leftovers, or eating breakfast at home, and that poses some important questions for these industries as they seek to improve volume growth. But just as higher prices have pushed consumers into different foods and restaurant types, more promotional activity may help to bring them back. There's data to suggest that some increase in promotional activity is underway or may be soon. We'll discuss what we've found and what a pickup in discounting may mean for the companies engaging in it.
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