Food - News
How Walmart Shoppers' Food Habits Are Changing With Inflation
By HOPE NGO
With inflation taking a huge toll on people’s spending habits, Walmart shoppers have started cutting back on their expenditures, which has affected the chain severely. As Walmart tries the “price leadership” strategy to keep its sales up, here’s how the customers’ food habits are being impacted by inflation.
Walmart’s CFO John David Rainey shared that the chain’s customer mix has changed to attract middle and high-income shoppers with household incomes of $100,000 or more. He also shared the “trade-down activity,” where, “instead of deli meats at higher price points, customers are increasing purchases of hotdogs as well as canned tuna or chicken.”
With the private brands seeing higher sales, Sam’s Club witnessed an all-time high membership number during the second quarter of 2022. However, outside of food and consumables, Walmart is struggling to make money with items like apparel and moving them by offering deep discounts.