2024 Grocery Trends: A Mid-Year Guide- Key insights from NIQ Research

Since 2020, the grocery industry has faced inflation and other challenges, influencing consumer behaviour. While some gains have been made, difficulties persist. Understanding these changes is crucial for brands looking to adapt.

Here are five key trends shaping the grocery sector in 2024 and beyond based on NIQ Research:

Private Label Growth is Slowing

Although private labels have grown due to their affordability, this growth is slowing. This gives CPG brands a chance to compete by enhancing brand loyalty, innovating products, and optimising pricing strategies.

Sustainability Matters to Consumers

A significant 95% of consumers are making efforts to live sustainably. However, 26% find it hard to locate sustainable products online. Brands must highlight their eco-friendly attributes clearly on packaging and product pages to meet this demand.

Value Shopping is Up

Value retailers are capturing more market share as consumers look for cost-effective options. Premium brands need to emphasise the unique qualities and value of their products to justify higher prices.

Promotions Are Losing Steam

While promotional sales are still growing, the rate is slowing. Brands must ensure their promotions add genuine value and avoid over-reliance on discounts, which can erode long-term profitability.

Omnisales Are on the Rise

Omnichannel shopping is dominating, with online CPG sales growing at nearly five times the rate of in-store sales. Grocery brands should optimise their strategies to cater to both online and offline consumers, ensuring seamless shopping experiences across all channels.

Adapting to these trends requires accurate data and strategic insights. High-quality data allows brands to identify emerging trends and act on them effectively. By leveraging data-driven strategies, grocery brands can align with market shifts and enhance their competitiveness in a dynamic environment.