Shoppers changing eating, and spending habits

The change in shoppers’ habits is creating a new battlefield for retailers and consumer goods makers that have been fighting over food prices for months. In addition, you also see that some people eat less, shower less, clean the house less, or use a little less product for their dishwasher or washing machine. People are rationing, partly because of decreased purchasing power, and because salaries always lag behind inflation. Once the salaries catch up to inflation, that effect should diminish, but some of it will remain because people create new habits. The cost of living is going up every day. Families are trying to focus on weekly expenses plus income, driving less and walking more to save on gasoline. The reduced purchasing power is itself causing or complicating other problems. The less they spend, the fewer consumer goods are sold. It means the reduced domestic demand that hurts the industries badly. Therefore, the existing businesses are not expanding and the new ones are not established which means fewer or no employment opportunities besides the negative effects on revenue collection by the government. It is a vicious circle for everyone. The prevailing cost-of-living crisis fueled by inflation is making people especially those from low-income groups and the middle class change their priorities notwithstanding what they like or dislike. With most of the money spent on food and energy needs, an overwhelming majority has very little money to spend on other items. You can observe it easily in every city market. The highest inflation in the last few years is prompting people to shift their shopping habits, especially at the grocery store. About 90% of Pakistanis are concerned about food prices. The cost of groceries overtook gas prices as people’s top inflation concern. Initially, concern was highest around electricity and gas prices, followed by groceries and other kinds of discretionary spending. However, in the last couple of weeks, groceries have become the number one concern for people. Both food and energy costs have spiked. The costs of food including food at home and away from home have gone up. Still, costs of energy including energy commodities, all types of gasoline, and fuel oil, are up. To spend less, many people are changing habits in how they shop for groceries and what they buy. They said that rising prices made them more curious about other options. Many are shifting their shopping habits to take fewer trips or are forgoing their favorite brands. People are getting creative. They have made changes to their grocery list to ensure they can feed their families. The stuff they used to eat they are not eating anymore. They are eating the kind of stuff that is cheap and healthy. Those who used to eat a lot of chicken, which has gotten so expensive that they are substituting chicken parts only. They do buy vegetables and fruits but the cheaper ones to save money. Look at the amount of food they could buy for a thousand rupees, and then see what they could purchase healthy for the same amount. They have been shifting their food spending over the last few months. They have cut back on the number of food items they purchase and have been making more food with less meat. People have cut the amount of meat they need in half. It is good that people are flexible in their shopping and meal planning, as it helps them keep costs down. People remember the day they could go in and find any food item they wanted. These days, they have a second meal choice because the meat they want is not available or the price of that meat has gone up.