How supermarkets have become a pandemic spending hot spot
The coronavirus pandemic has impacted the hip-pockets of families hard, with some forced to spend hundreds of dollars more on their weekly grocery shop. So what’s behind the dramatic increase?
VIC News
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Families are forking out up to $200 more on their weekly grocery shop than before the coronavirus pandemic.
Shoppers say a lack of specials, increases in fruit and vegetable prices and the need to buy brand items rather than cheaper alternatives is behind the rise.
Mandy Olin and Damon Boyd said the extra spending amounted to about $70 a week to their family shop.
“A lot of things we’d normally get haven’t been available,” Ms Olin said.
“Things we would normally get on special or at half price, they’re just not.”
Point Cook mum of seven Naomi Watson said being forced to buy big-brand items when the home-brand equivalents weren’t available was a major factor in her higher shopping bill.
“Before isolation I would average $500 a week,” Ms Watson said. “I’m now at about $700 and that’s just for the basics.”
A Marketing Focus study of almost 1000 consumers found spending increases of $20 to $40 a week on grocery shopping.
Marketing Focus retail analyst Barry Urquhart said people were keen to get in and out of stores as quickly as possible to maintain social distancing, so were not as discerning about which brands they bought.
“Customers have become less price sensitive and want instant gratification, no matter what their age, income or postcode,” Mr Urquhart said.
“The single most important thing is that they can get their toilet rolls or pasta or rice or any item. The mere fact that it is there is more important than what they are paying, it is peace-of-mind purchasing.”
Mr Urquhart said people cooking more meals rather than eating out was also a contributing factor.
ANZ analysis of customer card transactions found spending at supermarkets during the stockpiling peak in mid-March was 80 per cent higher than the same time last year. But it remains at about 15 per cent more than during April last year.
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