The forecast: The cost of a traditional Thanksgiving meal is expected to be 13.5% higher than a year ago, per IRI.
The opportunity: Inflation has driven 29% of grocery buyers to begin shopping at less expensive stores. Given that no holiday is more closely tied to home cooking, several discount grocers see a unique opportunity to attract new customers into their stores by offering steep discounts on Thanksgiving ingredients.
Building loyalty: Retailers are seeking to boost membership in their loyalty programs by offering participants unique discounts. While that type of initiative isn’t new, it’s particularly effective as consumers grow more value-oriented. In the past few months, 20% of shoppers seeking to save money at the grocery store have signed up for a free loyalty program, and 9% have enrolled in a paid membership program such as Walmart+ or a BJ’s membership, per our September survey conducted with Bizrate Insights.
The big takeaway: Inflation has reduced consumers’ brand loyalty. While this inflationary environment may be temporary, discount retailers have the opportunity to create positive experiences for customers that could translate into lasting loyalty.
Go further: Explore other tactics retailers can take in our Grocery Inflation report.
This article originally appeared in Insider Intelligence's Retail & Ecommerce Briefing—a daily recap of top stories reshaping the retail industry. Subscribe to have more hard-hitting takeaways delivered to your inbox daily.