Recently, Food & Restaurant Marketing conducted a research study on the Millennial grocery shopper in which we look at the entire grocery shopping experience. We surveyed a national cross-section of Millennials and uncovered several key insights on how they plan their grocery trip. This post will focus on just one phase of Millennial grocery shopping… how they plan.
In our previous research “Competing With the Refrigerator,” we discovered the decision on where to dine takes place in an extremely short window. Millennials will sometimes start driving without even knowing where they are headed before they start. Also, every millennial has a “shortlist” of restaurants they are willing to visit. In that study, Millennial consumers told us that they choose their own refrigerator over dining out.
In our grocery study, we sought to find similarities and differences in Millennials decision making and consideration set assembly.
Similar to the dining decision time period, the time Millennials think about what groceries to buy is extremely short.
The Millennial grocery shopping trip contains three key elements:
1. Creating their list
2. Finding the right time to shop
3. Choosing the best grocery format
We know that Millennials take a last minute approach to dining as the decision on where to dine takes place in six hours or less. We had a similar discovery in our grocery study. Almost all Millennials make a grocery list either always or some of the time. But nearly 40% of Millennials will make their grocery list on the day they plan to go shopping. Over half of those who make their list the day of, only do so an hour before they actually go to the store. Similar to the dining decision time period, the time Millennials think about what groceries to buy is extremely short.
Knowing when Millennials plan their trip is a good insight but when it’s paired with understanding when they actually go grocery shopping, it becomes an even bigger opportunity for marketers. Our assumption going into the study was that a large majority of grocery shopping was done over weekend. We discovered that the majority of Millennials do in fact shop on Saturdays and Sundays (48%) but over a third of the study said they grocery shop Monday through Wednesday (34%).
This uncovers an opportunity to rise above the weekend noise and allow your brand to stand alone at the beginning of the week.
Finally, we looked at where Millennials grocery shop. While almost all Millennials shop at grocery store chains (92%), most supplement their grocery trips with visits to stores of other formats. A large majority will also shop at superstores such as Target or Costco. This was surprising given all the focus you hear about Millennials affinity towards locally sourced foods. Even more surprisingly, we found a significant number of Millennials who say they grocery shop at Convenience Stores. Those that find themselves shopping at c-stores shop at the same store 64% of the time. This is likely due to a c-store location being on the way to and from work and the nature of those shopping trips.
Our study has shed light on the process Millennials take to plan their grocery shopping trip: How Millennials plan, what the shopping trip looks like to Millennials and finally how this reality affects CPG brands today.