Less frequent grocery shopping for most (ACI)
According to the latest survey conducted by Acosta, a CPG sales and marketing firm, grocery shopping on a weekly basis has dropped by 20% among U.S. consumers since the start of the pandemic. The percentage of consumers doing their grocery shopping once a week or more fell from 67% to 47% as seen in the following chart. The latest survey was Acosta’s ninth, conducted from June 26 to July 1. According to Acosta’s research consumers are now spending 37% more on each grocery trip compared to pre-COVID trips. 66% of respondents said they are spending less on eating away from home while 13% report spending more. 75% of respondents think a second wave of COVID-19 infections could lead to shutdowns returning. 73% of respondents said dine-in restaurants have reopened in their area, but only 27% had visited them.
Fresh produce re-accelerating, indicating elevated at-home meal consumption (SFM)
During the week ended July 12, fresh produce sales grew 11.0%, accelerating 2% from the prior week as seen in the following chart. Fresh vegetable sales accelerated from 14% to 16.1% in the latest week, while fresh fruit sales accelerated from 5% to 6.5%. Fresh fruit sales tend to be impulse purchases, while vegetable sales indicate meal preparation. We believe fresh vegetable demand is a better indicator of meal consumption at home, stripping out the stockpiling effect, which has lessened but has continued during the pandemic. Fresh vegetable sales still indicate elevated at-home meal consumption.
Sprouts Farmers Market is positioned well for elevated sales of home meal consumption and produce.
UK CPG sales slow, but frozen still elevated (NOMD)
For the week ended July 18, the total CPG demand in the U.K. was 4% higher YOY. Total edible categories were flat vs. the prior week at +9% YOY. Total non-edible categories were up 3% YOY. The frozen category ticked up to +16% from +14% sequentially, as seen in the following chart. The frozen category has generally been the second strongest category after alcohol during the pandemic in the U.K. The non-edible categories have seen lower levels of demand growth than the edible categories, but that gap narrowed to 6% in the latest week from 10% for the week ended June 27. The U.K. is Nomad Foods' largest market at 31% of sales.
