Consumers Prefer Homemade Thanksgiving Meals
According to consumer research firm Circana’s annual “Thanksgiving Outlook,” which provides key insights into projected consumer purchasing behaviors and attitudes for 2024, shoppers are embracing the traditions associated with Thanksgiving, even as grocery prices remain elevated.
The week before and the week of Turkey Day are key for driving sales, although some consumers are planning in advance for early deals. While the inflation rate increase for Thanksgiving staples has slowed to just 2%, consumers may not notice, because of the 26% rise in prices since 2020.
[RELATED: Thanksgiving Price Battles Heat Up]
Among the key insights from the Circana report:
- 79% of consumers said that they and their families will celebrate Thanksgiving in a traditional manner.
- 34% anticipate spending more on groceries this year, but they’re unlikely to curtail their purchases.
- 61% plan to eat their main Thanksgiving meal at home, a slight dip from previous years, providing more opportunities for retailers to push host-friendly gift options.
- 38% will avail themselves of early deals, with households including young children the most proactive in searching out savings.
- 10.6 is the average number of attendees at gatherings arranged by Gen Z and young Millennials, surpassing the smaller group sizes of older generations.
“Thanksgiving offers a unique opportunity for manufacturers and retailers to connect with consumers who are navigating high prices while still prioritizing cherished traditions,” noted Joan Driggs, VP, content and thought leadership at Chicago-based Circana. “By focusing on solutions that blend convenience, value and creativity, businesses can help shoppers celebrate in meaningful ways — whether through promotions on staple items, inspiration for new traditions, or offerings that make hosting and gifting easier.”
Thanksgiving is one of the most important food holidays of the year, generating a $2.4 billion increase in sales in 2023 – second only to Christmas. Circana expects several important trends to continue in 2024, including:
- 82% of the total sales increase during the Thanksgiving season occurred in the week of Thanksgiving and the week before.
- The Thanksgiving basket, comprising 31 key categories, drove this sales rise, despite representing just 9% of total sales for those weeks in 2023.
- The percentage of sales sold on promotion for last year’s Thanksgiving basket nearly doubled to 50%, but the average depth of discount was similar to the rest of the year.
- 8% of Thanksgiving meals had an item sourced from a restaurant or foodservice establishment.
An advisor on the complexity of consumer behavior, Circana works with almost 7,000 brands and retailers worldwide to help them take action and unlock business growth.
