fall 2020 4
When pandemic shutdowns began in March, consumers started spending more money at grocery
stores than at food service locations for the first time in five years, according to U.S. Census Bureau
data. Mandates to curb the spread of COVID-19 plummeted restaurant sales and may have changed
consumer behavior forever.
Below are excerpts from a special report published by Northwest FCS that provides insights into this recent shift in consumer
behavior and the impact on agriculture. For a full copy of the special report visit northwestfcs.com/industryinsights.
COVID-19 Food Buying Behaviors
An Industry Insights Special Report
industry insights
• Retail food sales dropped 54.2% from January to
April. Since the April low, restaurant recovery has
been slow, and studies indicate a significant number
of restaurants are closed for good.
• Grocery store sales increased 28.6% from February
to March as consumers switched from eating out to
cooking (and learning how to cook) at home.
• Before COVID-19 online grocery sales represented
10% to 15% of total grocery sales. In March and April
online grocery sales reached 28% market share.
Online wine sales increased 423.1% by the end of
June, year over year.
• 50% of consumers have returned to restaurants
since restriction were lifted and 65% have ordered
take out, according to Nielsen CGA. Of those who
haven't returned, 67% say they won't unless a
vaccine is available, or the threat of COVID-19 has
passed. Another 16% aren't returning due to
financial concerns.
• On Oct. 1, the U.S. House of Representatives
passed The Restaurant Act which, if passed in the
U.S. Senate, would provide access to $120 billion in
grants for the challenged industry.
• According to the report, the impacts to agriculture
vary. For example, high-end seafood sales are
challenged while others, like frozen produce, are
benefiting from the shift to grocery store buying.
Jan 2019 July 2019 Jan 2020 July 2020
$75,000
$65,000
$55,000
$45,000
$35,000
$25,000
Food Service and Grocery Store Sales
Source: U.S. Census Bureau Advance Monthly Sales; Food Service
and Drinking Places and Grocery Stores
Food Service Grocery Store
Visit
View this full
report online
