Below is a brief excerpt from a complementary research note written by our Consumer Staples analysts Howard Penney and Daniel Biolsi. We are pleased to announce our new Sector Pro Product Consumables Pro. Click HERE to learn more.
Retailers have responded to the improved supply of beef and pork with more features and promotions in circulars as seen in the following chart.
The increase in features and promotions are bringing consumers lower prices.
Ahead of the Labor Day weekend, the ground beef activity index was lower YOY for the week ended August 28 and in line with levels in March pre-pandemic.
According to Len Steiner of The Daily Livestock Report, “Round beef cut features last week were up 89% from a year ago and the average feature price was down 2% compared to last year. Top sirloin steak was the most featured item, and the average price was 13% lower than last year.”
Pork is also seeing an increase in features and prices.
“Pork features are almost double what they were after the Memorial Day weekend. As was the case with beef, pork feature prices are now lower than a year ago. Overall, loin features for the week ending August 28 were 17% lower than last year. The weighted average feature price for the week was also 15% lower than last year, a significant change compared to June when feature prices were up by more than 35% from last year.”