Acosta released a new report on the buying power and preferences of multicultural grocery shoppers.
The growing buying power of multicultural shoppers in the United States – estimated at $3.9 trillion – is impacting the food retailing business, new research shows. According to the recently-released “The Why? Behind the Buy: Multicultural Shopper Insights” report from sales and marketing services provider Acosta, multicultural consumers are gravitating to e-commerce and have unique drivers of purchasing behavior and preferences.
The report found that 54% of Hispanic consumers, 41% of Black shoppers, 41% of White customers and 40% of Asian buyers shop for groceries online. Those habits are likely to continue, as Hispanic (29%), Black (33%), Asian (40%) and White (25%) shoppers say they expect to spend even more online in the future.
Cultural groups can have different drivers when visiting the grocery store. For example, 40% of Asian shoppers say they most highly value grocery stores that are close to home; 36% of Black shoppers, 29% of Hispanic shoppers and 43% of White shoppers report that they most highly value grocery stores with the best prices.
The perception of value extends to brand loyalty, too. Among Black shoppers, 38% say that trustworthy brands are a priority. Nearly half (46%) of Asian shoppers and 39% of Hispanic consumers place the highest value on food brands that offer good quality for the price.
According to Colin Stewart, EVP, business intelligence at Acosta, understanding multicultural consumers and their shopping habits is key for grocery retailers to connect with all of their consumers and provide a more personalized experience.
“Multicultural households continue to be a driving force of purchasing power and will account for half of the U.S. population in less than 25 years” he said. "Multicultural shoppers' growing preference for e-commerce is significant to the future of grocery retail, though in-store consumer preferences among these groups demonstrate key insights for retailers to better meet the needs of shoppers.”