June 28, 2017 - A smaller share of the consumer food budget (grocery and restaurants combined) is going toward grocery spending, according to the Visa Retail Spending Monitor, which reports spending on all forms of payment. In May 2017, grocery spending grew just 2.6 percent on a year-ago basis, compared to 4.8 percent at restaurants. Groceries also made up just 51 percent of overall food spend, down from 55.6 percent in 2010.
Consumer grocery spending: Is home cooking on the decline?
Consumers of all ages are choosing to spend more of their money on experiences, such as a night out at a restaurant. Among millennials, an especially large share report dining out more often (26 percent vs 17 percent overall), citing higher disposable income. Millennials also say they’re too busy to cook.
You may also be interested in
Strong U.S. economy spurs spending in key merchant categories
The U.S. economy has been expanding for nearly eight years and appears on track to surpass the 10-year record set in the 1990s.
Gray is the new black: Baby boomers still outspend millennials
Visa projects consumers age 60+ will continue to drive U.S. spending for the next five to 20 years.
Affluent consumer spending is under pressure
Affluent U.S. consumers have pulled back on spending in recent years.