How stores can leverage multicultural shoppers who spend more on meat and produce

Dive Brief:

  • New Nielsen research reveals that multicultural groups spend as much as 4% more in fresh grocery store departments than white non-Hispanics, according to Supermarket News
  • In total, African Americans, Asian Americans and Hispanics spent approximately $40 billion on fresh products last year, which represents 21% of their annual food spend in perimeter categories.
  • Multicultural groups also spend more in meat and seafood departments. African Americans spend 44% of their total fresh dollars on items like chicken wings, crab and pork ribs, while Asian Americans spend twice as much on seafood as white non-Hispanic consumers.

Dive Insight:

This 4% spending gap between multicultural shoppers and white non-Hispanic shoppers may reflect cultural differences regarding cooking experience and practical knowledge. Hispanics, for instance, are believed to go shopping with specific recipes — many passed down through the generations — in mind, leading to a greater number of fruit and vegetable items purchased.

Winn-Dixie recently capitalized on this trend, opening five Fresco Y Mas branded stores in South Florida. These stores cater to Hispanic communities, offering authentic ingredients this demographic often can’t find in an average chain grocery store. It’s a strategy that grocery analysts feel will pay off and one that other stores will likely follow.

The Nielsen study also revealed that that multicultural millennials have similar shopping tendencies to the average millennial shopper, so retailers will need to cater to this demographic without forgetting the older generations. Some way to do this are offering tastings throughout the store, cross-merchandising new items with popular foods, and using social media. 

Filed Under: Grocery Meat / Protein