With food prices rising, shoppers are changing the way they buy groceries and plan out meals.
Overall budgets may not be shrinking, but shoppers are making deliberate decisions about where their money goes — prioritizing value, buying in ways that stretch dollars, cooking more at home, and selectively dining out.
Understanding these shifts can help specialty retailers like butchers, delis, and fish markets respond to more deliberate, cost-conscious customers while maintaining loyalty.
In this article, we’ll take a closer look at current food spending trends, their impact on specialty markets, and practical strategies grocers can use to maintain sales through pricing, product selection, and promotions.
U.S. Food Spending Trends in 2025
Consumers aren’t spending less on food overall, but they are making more deliberate choices.
The USDA projects overall food prices to rise 3% in 2025 — a smaller increase than the spikes back in 2022 (+9.9%) and 2023 (+5.8%), but still above the 20-year average. Specialty grocers can respond by focusing on how shoppers weigh cost against value in every purchase.
Grocery prices are up 2.4% this year, slower than the 3.9% increase in restaurant meals. This shift moves dollars from dining out to home-prepared meals, offering an opportunity for specialty markets to capture spending once reserved for restaurants.
Even as households look to save, they still spend on small treats, willing to pay for indulgences while cutting back on full-scale restaurant meals.
Together, these patterns suggest that markets emphasizing quality, variety, and thoughtful promotions can capture both everyday staples and discretionary purchases, keeping customers returning as spending habits shift.
5 Key Food Spending Insights for Markets
To stay ahead, specialty markets need to think like their customers. Knowing how and where shoppers spend their dollars can guide pricing, promotions, and inventory decisions.
The five insights below highlight how markets can respond to these shifting priorities and retain customers.
1. Shoppers Are Focused on Value
As consumers adjust their shopping habits, many are turning to private-label options to cut costs. In a recent report, half of those surveyed are now purchasing more private-label products than before — while others are taking more advantage of promotions or buying in bulk.
Many small markets don’t produce their own private-label items, so highlighting that value and offering enticing promotions are key.
Here are a few ways markets can stay ahead:
- Highlight value in store: Show savings on bulk meat, seafood, or deli combo packs compared to larger retailers.
- Promote unique products: Offer in-store tastings or sample packs to show shoppers that affordable options can still be high-quality.
- Bundle strategically: Pair higher-margin items with popular staples to increase total basket spend.
- Leverage loyalty programs: Reward frequent purchases to encourage repeat spending.
Even without having your own private-label options, specialty markets can provide valuable savings through promotions, bundle deals, and loyalty program rewards that encourage shoppers to buy more and come back.
2. Consumers Are Cutting Back on Dining Out
Many households are scaling back restaurant spending and opting to cook more at home. 69% of consumers reported eating more at-home meals, with breakfast leading the way (75%).
Notably for market owners, quick-service restaurants remain resilient by offering promotions and value meals — giving specialty markets an opportunity to offer both recipe staples and ready-to-eat options that meet shoppers’ demand for convenient, home-prepared meals.
Here are a few ways markets can stay ahead:
- Offer quick-prep options: Include pre-marinated proteins, seafood portions, or charcuterie trays that make home meals faster and more convenient.
- Highlight breakfast and lunch items: Sell grab-and-go sandwiches, breakfast pastries, or breakfast protein options to align with meals consumers are preparing at home.
- Pair complementary ingredients: Group items commonly used together for home meals (e.g. pasta with sauce, salad kits with dressing) to make shopping simpler.
- Provide recipe ideas: Offer simple recipe cards, QR codes, or in-aisle signage near meal kits and grouped ingredients to inspire at-home meals and boost basket size.
With more shoppers prioritizing grocery trips and convenient meals for work lunches, after-school pickup, or dinner at home, specialty markets are in a good position to meet this demand.
Related Read: 5 Meal Kit Ideas To Boost Your Market's Sales
Using point of sale (POS) reports and historical sales data, markets can identify which items and meal combos resonate best with customers, helping you plan inventory more accurately and create promotions that align with their past purchases.
3. Shoppers Are Selectively Splurging
Even as many households focus on value, some shoppers still spend on premium or branded groceries — but selectively, choose smaller indulgences rather than full restaurant meals.
Branded products are particularly popular in categories like confectionery, drinks, and personal care. For example, coffee shop visits have increased by 3%, showing that shoppers are willing to pay more for a few favorites.
Specialty markets can respond by highlighting unique, high-quality, or small-batch products that appeal to this selective indulgence.
Here are a few ways markets can stay ahead:
- Spotlight premium or seasonal items: Highlight limited-time or trendy products, like flavored waters, specialty teas, snacks, or seasonal flavors, to attract attention.
- Create curated bundles: Pair premium treats with essentials (e.g. probiotic sodas with regular lunch staples) and offer a discount to grow basket size.
- Offer small-format indulgences: Sell single-serve or smaller portions of higher-end products to make premium options more accessible.
Reviewing customer data in your POS system lets you track total spending, top products, and visit history to identify which shoppers are consistently spending more on premium items.
4. Health-Conscious Shoppers Are Willing To Pay More
Even as households look for ways to save, many younger shoppers are prioritizing the health and nutrition of the food they buy.
Millennials and Gen Zers, in particular, are actively choosing organic and “free-from” items, meaning products free from pesticides, hormones, antibiotics, or GMOs — and are willing to pay a premium for them.
Protein is also a growing priority. Over 60% of consumers increased their protein intake in 2024, and younger shoppers are driving demand for high-protein snacks, ready-to-cook meals, and convenient single-serve portions.
Here are a few ways markets can stay ahead:
- Curate a wellness-focused section: Group organic, “free-from,” and high-protein items together for easy browsing.
- Highlight nutritional benefits: Add short notes or signage outlining protein content, clean-label attributes, or other health benefits.
- Offer tastings or samples: Let shoppers try healthy snacks or trending foods they’ve seen online to discover new favorites.
- Promote convenient options for younger shoppers: Feature pre-marinated proteins, ready-to-cook meals, or portable high-protein snacks that align with busy lifestyles — while also tapping into the growing interest for quick-service meals.
Specialty markets can keep shoppers engaged by managing perishable items carefully, rotating stock to stay fresh, and paying attention to trending foods that younger customers are discovering online.
Offering flexible bulk or weight-based options lets customers buy just what they need, while balancing organic and health-focused products alongside everyday staples ensures the store appeals to a broad range of shoppers.
5. Frozen Foods Are Seeing Growth Across Generations
Frozen foods are becoming a bigger part of shoppers’ baskets, with the U.S. frozen food market projected to double in value — from $79.6 billion in 2024 to over $150 billion within the next decade.
Across generations, consumers are turning to frozen options to stretch budgets, reduce waste, and explore global and premium flavors at home.
More than 83% of shoppers say frozen foods help with meal planning and lower stress, giving specialty markets an opportunity to feature products that meet a range of needs — from quick, convenient meals to elevated, chef-inspired dishes.
Here are a few ways markets can stay ahead:
- Upgrade freezer equipment: Use energy-efficient freezers with clear doors and adjustable shelves to make products easy to see and keep them fresh longer.
- Arrange frozen items thoughtfully: Position frozen seafood or prepared proteins near fresh produce or pantry staples to spark complete meal ideas.
- Highlight international flavors: Offer frozen dumplings, curries, or seafood bites, grouping items by cuisine for easy browsing.
- Add convenient frozen options: Stock small desserts, breakfast items, and single-serve meals for quick, flexible choices that appeal to families and younger shoppers.
Specialty grocers that balance everyday staples with premium, convenient, and adventurous frozen options can capture both routine and discretionary spending while keeping shoppers coming back.
Tools To Keep Your Market Competitive
Keeping up with food spending trends can feel daunting, especially as costs rise for both you and your customers. Shoppers are now more deliberate, value-conscious, and convenience-focused than ever, so what worked last year may not work today.
To stay ahead, specialty markets can rotate displays to highlight seasonal or high-demand items, adjust promotions to match shopper priorities, and curate inventory that balances everyday staples with premium or convenient options.
A POS system like Markt POS makes this easier, offering real-time insights on what’s selling, which customers are returning, and which promotions drive results — helping you make smarter merchandising, stocking, and marketing decisions.
Schedule a Markt POS demo today to see how an industry-specific POS system can keep your market ahead of the curve.
by Joel
