Findings:
Gen Z and younger millennials spend less on fresh food compared to older demographics, contributing 26-27% of their total basket to fresh food purchases. In contrast, Boomers, Gen X, and older millennials contribute a higher percentage (28-31%) and have increased their fresh food purchases over the past year.
Key Takeaway:
To engage Gen Z and younger millennials, fresh food brands and retailers must focus on reinventing their offerings by tapping into social media trends, embracing nutrient-dense and globally inspired flavors, and using digital channels to influence purchasing decisions.
Trend:
There is a growing trend of younger consumers being heavily influenced by digital channels and social media, particularly TikTok, in their purchasing decisions. Viral trends can drive significant sales in specific categories, as seen with the success of grapes on social media.
Consumer Motivation:
Younger consumers are motivated by trends they see on social media, their desire for nutrient-dense and flavorful foods, and their inclination towards globally inspired products. They are also more likely to make purchases through e-commerce platforms, influenced by online content.
Driving Trend:
The driving trend is the increasing digital influence on purchasing decisions, with a significant focus on social media platforms like TikTok. This influence is expected to grow, with 70% of sales projected to be digitally influenced by 2027.
People Referred to in the Article:
The article refers to Gen Z and younger millennials as the primary consumers of interest, as well as industry experts like Kelly Krumholz, who provide insights on how brands and retailers can better engage these younger demographics.
Description of Consumers and Product/Service:
The consumers in focus are Gen Z and younger millennials, who are more likely to be influenced by social media trends and digital content. They prefer fresh, nutrient-dense foods such as lean proteins, berries, apples, and globally inspired items like deli sushi.
Conclusions:
To increase engagement with younger consumers, brands and retailers need to harness the power of social media, particularly TikTok, and focus on offering fresh, nutrient-dense, and trendy food options. Adapting to the digital-first mindset of these consumers is crucial for capturing their spending.
Implications for Brands:
Brands need to invest in social media marketing and digital content to drive awareness and sales among younger demographics. They should also innovate their product offerings to align with the tastes and preferences of Gen Z and younger millennials, focusing on freshness, health, and global flavors.
Implications for Society:
The increasing influence of digital media on food purchasing decisions highlights the need for greater digital literacy and awareness among consumers to ensure informed and healthy choices. The shift towards e-commerce also reflects broader changes in consumer behavior and retail.
Big Trend Implied:
The big trend implied is the rising importance of digital and social media platforms in shaping consumer behavior, particularly among younger generations. Brands that successfully leverage these platforms to promote fresh, trendy, and health-focused products are likely to thrive in this evolving market.
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