Gen Z want to benefit from lower per-unit food prices offered by warehouse stores amid ongoing inflationary pressures in the food market
Young adults, especially those in their 20s and 30s, are turning to bulk purchases at warehouse stores like Costco and Sam’s Club and splitting their costs with friends, family or neighbors to cope with rising prices.
The trend is driven by the desire to benefit from lower per-unit food prices offered by warehouse stores amid ongoing inflationary pressures in the food market.
Sam’s Club, owned by Walmart, has also seen Gen Z shoppers make the fastest-growing member group, with a 63% rise among those aged 27 and under over the past two years.
According to a June survey of over 1,000 people by Advantage Solutions, nearly 40% of shoppers aged 25 to 34 said they split bulk groceries to manage their budgets, illustrating a widespread strategy to reduce food costs.
According to recent Agriculture Department data, Americans spend an average of 11.2% of their disposable personal income on food. The figure is close to highs not seen in nearly 30 years.
Retailers, on the other hand, don’t like membership sharing, but they have reported an increase in net sales this year.