Tue, 19 Aug 2025

Tue, 19 Aug 2025 People buying less fast food as grocery prices remain high

But shoppers were still buying branded groceries instead of opting for cheaper, own-brand alternatives.
A new survey by Worldpanel found that people are cutting back on fast food this summer, but making up for it with smaller treats from supermarkets. Casual and fast-food restaurants saw a 6% drop in customers over the past three months compared to last year. However, shoppers are still opting for branded groceries rather than cheaper own-label alternatives, which may indicate that they're trying to make savings without sacrificing quality. The survey also found that grocery price inflation fell slightly from July to August, but consumers are still feeling pressure to reduce their spending due to the high cost of everyday essentials. According to Worldpanel's head of retail and consumer insight, Fraser McKevitt, "What people pay for their supermarket shopping often impacts their spending across other parts of the high street too, including their eating and drinking habits out of the home." Interestingly, coffee shops are bucking this trend, with visits up 3% over the same period. Many consumers are opting for smaller, cheaper ways to treat themselves, such as takeaway coffees or supermarket sweets, rather than dining out. Branded grocery sales grew by 6.1% in August, while own-label alternatives saw a 4.1% increase. Worldpanel's report found that this is the largest gap in favour of brands since March 2024.
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