Supermarkets remain the top channel, with mass merchants gaining ground. These two channels rapidly
expanded their selection of specialty food and beverages in recent years, resulting in natural and
specialty food stores each losing three percentage points of share since 2020. The big channel winner for
2023 was farmers' markets, which moved ahead of specialty food stores and convenience stores, and
tied mass merchants for the most growth penetration since 2020.
Channel preferences are largely driven by life and family stage. Young Millennials shop at
significantly more channels than any other group. Gen X routines are shifting with the impact of children
leaving home. Boomers over-index for supermarkets while under-indexing for every other channel.
The share of shoppers buying groceries online doubled
from 33 percent to 66 percent between 2020 and
2023.
A rising high frequency of online shopping shows
entrenched behavior. There are now more people using
click-and-collect more than once a week, compared to
once a week (14 percent v. 12 percent). Those who
never shop in-store rose beyond 0 percent where it has
always been to 4 percent—a sign of the rise of Gen Z
and Millennials.
Online shopping has some demographic drivers that
might not be expected. Income of $75K+ is significant,
the younger generations and any presence of children
are major drivers, but also men are 10 percentage
points more likely than women to shop this way and
any consumer with a–nity for plant-based diets
is far more likely than others.
Grocery Channels
by Generation
Shopped,
Food Consumers:
Today's Specialty
They
Where
Shop
Online
Drivers
Shopping Frequency and
and
Base: Internet users age 18+ who purchased any specialty food and beverages in the past six months:
N=1157; 170; 264; 188; 313; 213
Thresholds: Blue stars denote +/- 6-9 percentage points and orange stars denote +/- 10 percentage points
Source: SFA
60% 70% 80% 50% 40% 30% 20% 10% 0%
64%
50%
42%
38%
28%
24%
26%
24%
26%
14%
21%
24%
26%
22%
6%
20%
21%
23%
19%
17%
31%
29%
27%
22%
39%
44%
41%
36%
28%
50%
41%
35%
34%
51%
57%
64%
59%
66%
Supermarket
Total respondents
Gen Z 18-26
Young Millennials
27-35
Older Millennials
36-43
Gen X 44-58
Baby Boomers
59-77
Mass Merchandiser
(e.g., Walmart, Target)
Natural food store
(e.g., Whole Foods,
Sprouts, Trader Joe's)
Club store
(e.g., Costco,
Sam's Club,
BJ's Wholesale)
Discounter
(e.g., ALDI, Lidl,
Grocery Outlet,
Dollar General)
Farmers market
Specialty food store
Convenience store
72%
56%
55%
46%
46%
52%
27%
33%
28%
30%
32 SPECIALTY FOOD SPECIALTYFOOD.COM
