IRI recently released the August 2022 Price Check that documents retail food and beverage prices and inflation with commentary on consumer trends.

August data collected by IRI in collaboration with partner, NPD Group, showed that prices for food at home increased by 1.6 percent from the end of July to the end of August and up 13.4 percent year-over-year through August 28th, 2022.

In August, carbonated beverages and fruit increased by 5.3 percent from the end of July.  Butter and other spreads were up 30 percent compared to August 2021.

Retail food and beverage unit sales declined by 4.5 percent compared to August 2021 and volume was down 4.0 percent.  Categories including frozen dinners, cookies and coffee that have experienced sharp escalations in price showed the largest reduction in volume.

The IRI report noted that despite total sales of retail food and beverages remaining fairly constant, low-income households are buying fewer discretionary items and are searching for favorable prices.  The report concluded that customers are making more frequent trips to a greater range of food stores.  Quick trips were up 6.7 percent during August 2022 compared to the corresponding month in 2021 and shopping trips to replenish pantries were down by 0.6 percent.  Club stores and deep discount groceries have benefitted from the search for lower prices but apparently among middle and upper income consumers.

IRI determined that trends in consumer purchases were driven predominantly by low-income households with a sharp reduction in purchases of discretionary categories, including seafood, candy and prepared meals.