The purchasing habits of French consumers were ‘transformed’ last year, according to Kantar, adding that the effects of this shift are likely to continue to be felt in 2024.
According to Kantar, the start of this year has seen a continuation of the decline in grocery volume sales experienced last year, with volumes down by 3.0% in the first quarter thereof.
At the same time, spending has increased (by 2.2%), with the average price of products higher than it was in 2021, despite a stabilisation of inflation.
‘Thus, the French are emerging from this inflationary crisis with degraded purchasing power and reduced willingness to spend,’ noted Kantar.
Fresh Products
Fresh-produce sales have been particularly affected, going down by 3.4% across all distribution channels – a continuation of the trend seen in recent years.
As Kantar notes, cheeses, meat, fish, and cold meats are now considered ‘variable’ purchases for shoppers, given recent price increases.
Fresh-produce sales have remained subdued since the end of the COVID-19 pandemic, given a return to dining out and less requirement to cook meals from home.
Grand Frais Bucks The Trend
However, a specialist retailer dealing predominantly in fresh produce, Grand Frais, has bucked that market trend, with the retailer capturing customers from other retailers, according to Kantar.
The performance of Grand Frais reflects several factors, including the strong expansion of its store network, a decline in sales at other organic-focused retailers (from which the retailer is benefitting, due to its more attractive price points), its appeal to a clientele ‘in search of quality, expertise, freshness and choice,’ and its customer loyalty programme.
