Retail Savvy Limited’s Post

Headline inflation cooled ever so slightly in September. Prices on goods and services rose 2.4% year-over-year, down from 2.5% in August. Food prices, however, continue to be at the forefront of consumers’ minds, with restaurant prices up 3.9% and grocery store prices +1.3% year-over-year. How is that impacting consumer choices at the grocery store? Find out in the latest edition of "The Dairy Bar: Powered by Ever.Ag": https://lnkd.in/epQ_32EU

The inflation rate has hit 2% for the first time in nearly three years. But what does that mean for your weekly grocery shop? Prices are now rising more slowly… But you probably won't see a big drop in your food bill right away. While some items like fish, milk, and cheese have gotten cheaper, major price cuts across the board will take time. Want to save money in the meantime? This article suggests: - Sometimes opt for supermarket own brands. - Choose canned, frozen, and dry goods. - Check unit prices and look for sales. - Consider changing supermarkets. While the benefits of lower inflation on food prices will be gradual… These can help you stretch your budget further. Are you feeling the pressure of food costs? https://lnkd.in/eeTZT9JJ

The Consumer Price Index rose 3.5% over the past 12 months, up from 3.2% year-over-year in February and the strongest rate since September. At the same time, core inflation (which excludes food and energy) increased 3.8% year-over-year in March, the same pace as in February, remaining the slowest pace since May 2021. Overall, these data highlight a mixed picture for consumer inflation. On the positive side, core inflation continues to moderate, albeit not as fast as expected. Yet, the uptick in costs in the latest data shows how stubborn prices can be, even with progress over the past year. In contrast to the uptick in the overall CPI, growth in menu prices continued to slow in March. The Consumer Price Index for Food Away from Home increased 4.2% between March 2023 and March 2024. That represented the 12th consecutive month of decelerating growth and the smallest 12-month increase since June 2021. Within the food-away-from-home sector, limited-service menu prices outpaced the fullservice segment in recent months, although growth rates in both price indices are well below their recent highs. Prices for limited-service meals and snacks increased 5.0% between March 2023 and March 2024. That was the smallest 12-month increase since August 2020, after peaking at 8.2% in April 2023. Fullservice menu prices rose 3.2% between March 2023 and March 2024. That represented the smallest 12-month gain since March 2021, after topping out at 9.0% during several months of 2022. For more information, see the National Restaurant Association post from Bruce Grindy and me: https://lnkd.in/e8ZNZeex.

💥 NEW BLOG💥 As 2024 nears the midway mark, many consumers are grappling with the persistent issue of rising food prices. While inflation has been easing downward, many food prices remain stubborn or even continue to climb. 📎 Read More Here: https://hubs.la/Q02y_Hzz0 #FreshByte #FoodIndustry #FoodPrices

According to CATALINA DATABASE SOLUTIONS LLC, the overall food inflation rate for Q1 ‘24 was hovering around 3%, down substantially from 16% in Q1 ‘23. In the 10 categories of food that grocers measure there has been a drop in pricing, year-over-year, in every category. #retailtrends #inflation #grocery https://lnkd.in/gJPvuej4

Overall, the food index increased 0.4% last month after rising just 0.1% in August. The food-at-home index (grocery) rose 0.4%, the highest since January when it was also 0.4%, while food-away-from-home prices increased 0.3%. 💚Grocery prices were flat in August.The CPI for All Urban Consumers increased 0.2% on a seasonally adjusted basis, the same increase as in August and July. “The latest CPI numbers demonstrate that taming inflation continues to be an uneven process,” said Andy Harig, vice president, Tax, Trade, Sustainability, and Policy Development for FMI — The Food Industry Association. “Food prices are driven by many factors and can be volatile…but we shouldn’t let a single month’s data obscure the very real progress that has been made addressing food price inflation — ⚠️ on a year-over-year basis, food-at-home inflation came in at 1.3%, a very strong showing.”⚠️💚💚💚💚 Some retailers, however, are cutting the price of food. In late September, Giant Eagle announced a 20% average price reduction on more than 200 produce items, a measure that is costing the grocer $25 million. https://lnkd.in/ekHNGGpZ

𝗥𝗲𝗺𝗲𝗺𝗯𝗲𝗿 𝘄𝗵𝗲𝗻 𝘆𝗼𝘂 𝗰𝗼𝘂𝗹𝗱 𝗴𝗿𝗮𝗯 𝗮 $𝟱 𝗳𝗼𝗼𝘁𝗹𝗼𝗻𝗴 𝗮𝘁 𝗦𝘂𝗯𝘄𝗮𝘆? Those days are behind us. In my latest whitepaper, The Value Wars, I break down how fast-food prices have skyrocketed—rising as much as 100% over the past decade—and what that means for consumers and the industry. How are fast-food chains responding, and what does it all mean for M&A activity? Read the full insights by clicking the link here: https://lnkd.in/gkVRFg4i #MergersAndAcquisitions #FastFoodTrends #ValueWars #Inflation

Deflation has arrived — but it seems restaurants didn’t get the memo. This month’s BLS Consumer Price Index shows that the cost of dining out (up 4.1% year-over-year) continues to outpace inflation. Despite all the headlines about new menus and discounts, the data shows these are the exception to the overall trend. ❗The good news is that we’re seeing the price of gas going down, which is helping drive down prices on this month’s basket of goods. Though to date we’ve seen just one month of deflation — and driven by fuel, which is famously volatile — it’s still indicative of cooling prices. Here are the numbers: Month-over-month changes: 📈 Core inflation excluding food & energy: 0.1% 📉 Total inflation: -0.1% ⛽ Gas (all types): -3.8% 🛒 Food at home: 0.1% 🍔 Food away from home: 0.4% Year-over-year changes: 📈 Core inflation excluding food & energy: 3.3% 📈 Total inflation: 3.0% ⛽ Gas (all types): -2.5% 🛒 Food at home: 1.1% 🍔 Food away from home: 4.1% You can read the full BLS release here: https://bit.ly/3O5zHpr

Food price inflation fell slightly to 6.8% in January, down from 6.9% in December 2023, according to Kantar.   This softer decline compares with a 2.2 percentage point decrease seen between November and December.   Meanwhile, take-home grocery sales grew in value by 2.9% over the four weeks.   Fraser McKevitt, head of retail and consumer insight at Kantar, said: “There’s been a lot of speculation about the impact the Red Sea shipping crisis might have on the cost of goods, but the story in the grocery aisles this January is more about the battle between the supermarkets to offer best value, rather than geopolitics. “Retailers have taken their foot off the promotions gas slightly as we’ve come into the new year, and that’s meant inflation hasn’t fallen as quickly,” he suggested. Both J Sainsbury PLC (LSE:SBRY) and Tesco PLC (LSE:TSCO) gained market share over the latest 12 weeks to 21 January 2024 compared with a... More at #Proactive #ProactiveInvestors http://ow.ly/EKhg105emBa

As we begin 2024, food inflation remains a top concern for consumers, with high prices playing a key role in shaping their purchasing decisions. Will we see inflation decrease this year? Shoppers may have to exercise their patience, but some experts believe that prices will begin to balance out moving forward. Read more about it here: https://lnkd.in/eUkZn86v