NCA Grocery Shopper Survey July 2009

National Consumer Agency

Grocery Shopping Market Research Findings

July 2009A Report by

2

Amárach Research was commissioned in 2009 to continue the programme of research being conducted by the National Consumer Agency with a view to maintaining the considerable momentum gathered throughout 2007-2008 in terms of empowering the consumer.

Key to the research is the comparison (where possible) of data collected in previous waves i.e. Benchmark (Nov/Dec 2007), Wave 1 (Aug 2008), Wave 2 (Nov/Dec 2008) with the current consumer landscape Wave 3 (May/June 2009) illustrating the impact of the NCA in relevant areas and highlighting areas for further development.

The research was conducted by means of face-to-face interviewing with 1,000 people between the ages of 15-74.

To ensure that the data is nationally representative, quotas were applied on the basis of age, gender, social class and region.

Interviewing was conducted over a 4 week period in May/June 2009.

A. Research Background & Methodology

3

B. Profile of Sample – I

(Base: All aged 15-74 – 1,000)

Male

Female

% % % %15-17

18-24

25-34

35-44

45-54

55-64

65-74

Married

Living as Married

Single

Wid/Div/Sep

AB

C1

C2

D

E

F50+F50-

MAIN GROCERY SHOPPER

Yes No

6

43

12

16

26

24

37

2617

10

2018

710

792

45

10

55

SEX AGE MARITAL STATUS SOCIAL CLASS

44%56%

4

10

46

11

26 27

20

27

26

23

16

21

108

11 52

21

11

79

SEX AGE MARITAL STATUS SOCIAL CLASS

B. Profile of Sample – II – Main Grocery Shoppers

(Base: All Mainly Responsible for Grocery Shopping in Home – 556)

Male(45)

Female(55)

% % % %18-24(16)

25-34(24)

35-44(17)

45-54(17)

55-64(10)

65-74(9)

Married(43)

Living as Married(10)

Single(37)

Wid/Div/Sep(10)

AB(12)

C1(26)

C2(26)

D(20)

E(7)F50+(7) F50- (2)

56%

( ) = Total Sample

MAIN FINDINGS

Grocery Shopping

7

60

47

20

15

13

6

6

5

56

43

17

12

13

8

6

7

Benchmark 2007

Main Reasons for Choice of Main Grocery Shop

(Base: All main grocery shoppers – 562)

Price

Convenience

Parking

Late night opening

Quality of Product

Loyalty

Support local shops

Other

Main Reasons Wave 1 2008

31

61

9

21

5

** Not asked in July 2008.

Price continues to be the key driver of choice of the main grocery shop, followed by convenience.

Wave 2 2008

%% %

56%

58

49

17

8

11

8

6

4

Wave 3 2009

%

–

**

**

8

33 31 34 2937

67 69 66 7163

Own Brands versus Regular Brands x Sub-Groups

%

Own brand

Regular brand

Identical to the previous wave, on average, just over one third of goods bought by consumers are own brand goods. Men and ABC1s continue to be more inclined than

women to buy regular brand goods.

56%(Base: All main grocery shoppers – 562)

%

Wave 3 2009

%%%

MaleTotal C2DEABC1Female

(33)

(67) (73) (66)(68)

(65)

(27) (34) (32)(35)

() = wave 2 2008

9

73

61

51

42

40

39

35

30

Primary

% %


Own Brand Goods Bought Most Often

Toilet tissue/kitchen towel (95%)Household cleaning products (97%)

Milk (97%)

Tinned/frozen food (92%)

Biscuits (96%)

Juice drinks (92%)

Toiletries (94%)

Bread (96%)

Butter/spreads (95%)

Breakfast cereal (95%)

Soft drinks (88%)

Yoghurts (92%)

Chocolate/sweets (88%)

Tea/Coffee (95%)

Baby products (36%)

Beer (69%)

30

28

28

26

25

17

17

14

56%

* New Question ( ) = % of grocery shoppers who buy products

Secondary

Those who are responsible for the main grocery shop are most likely to buy own branded toilet tissue and household cleaning products. They are least likely to buy

own branded beer, baby products and tea or coffee.

10

86

83

83

75

74

72

72

70

Primary

% %


Branded Goods Bought Most Often

Beer (69%)

Tea/Coffee (95%)

Baby products (36%)

Chocolate/sweets (88%)

Yoghurts (92%)

Soft drinks (88%)

Breakfast cereal (95%)

Butter/spreads (95%)

Bread (96%)

Toiletries (94%)

Juice drinks (92%)

Biscuits (96%)

Tinned/frozen food (92%)

Milk (97%)

Household cleaning products (97%)

Toilet tissue/kitchen towel (95%)

70

65

61

60

58

49

39

27

56%

* New Question ( ) = % of grocery shoppers who buy products

Secondary

Of those who buy beer., tea/coffee and baby products, over 4 in 5 buy branded goods.

11

Features of Convenience which Determine Choice of Shop

(Base: All choosing their main shop for convenience – 275)

As with previous waves, the location of the store accounts for the largest share of the element of “convenience” when choosing main shop. Good

prices/best prices is on the increase.

%

64

13

17

2

5

2

4

2

7

61

24

6

6

4

4

2

2

4

2

62

16

9

5

9

3

2

3

3

Features of Convenience

Closest to me/local

Parking/Free parking

Good prices/best prices

Late opening/24 hours

Knowledge of the store/used to it

Easy access

Friendly staff/know staff personally

I can get everything under the one roof

Like the products/better choice/wider range of goods

Good quality of goods

All others 1% or less

-

28%

Wave 3 2009Wave 2 2008Wave 1 2008

(+11%)

12

Change in Grocery Shopping Since the Start of the Year


50%50%Yes No

Change in Grocery Shopping

Consistent with Nov/Dec, 1 in 2 have changed the way in which they do their grocery shop since the start of the year. Women and ABC1’s are most likely to

have changed their grocery shopping behaviour.

(51%) (49%)

() = Wave 2 2008

%

56%

Male 38%Female 54%

ABC1 58%C2DE 49%

Continual change evident, setting in habits not evident yet.

13

42

40

38

34

26

16

14

12

%

Wave 3 2009

31

48

30

21

31

7

9

34

35

37

20

34

17

6

Changes Made to the Grocery Shopping Since the Start of the Year

(Base: All who changed their shopping behaviour since the start of the year – 281)

Cutting back on treats is the main change that grocery shoppers are beginning to do since the start of the year, followed by buying cheaper versions of products. However, the greatest change from the previous wave is the amount of grocery shoppers who are buying less since the start of the year (34%). 14% have

begun shopping up North.

%

Cutting back on treats for you/family

Buying cheaper versions of products (e.g. own brands rather than regular)

Taking more advantage of special offers, using coupons, etc.

Buy less

Spreading your grocery shopping over different supermarkets and stores to get the best value

Switched your main grocery shopping from a different retailer to the one you use now

Started shopping up North (across the border)

Do without or cut back e.g. buy less meat

Changes to Grocery Shopping%

Wave 1 2008Wave 2 2008

(-8%)

28%

(+14%)

** Not asked in previous waves

** **

14

11

14

18

13

15

1

6

1

3

24

17

15

5

3

3

3

3

3

7

Reasons for Changing Shopping Habits

(Base: All who have changed their shopping habits – 281)

Almost 1 in 4 of those who have changed their shopping habits tend to be spending less. This is more than likely down to the fact that where they are shopping now is

cheaper and they are cutting down on what they are buying.

%

Spending Less

It’s Cheaper

Cut Down/Buy Less

Shop at discounter stores more often

Buy More Special Offers

Always Looking for Best Price

Recession

Due to price increases

To Get Better/Different Selection

Don’t Know

All others 2% or less

28%Wave 3 2009 Wave 2 2008

%

-

Shopping Habits – Key Influences

16

44

13

8

7

6

6

4

2

2

2

29 32

46 43

13 16

912

Wave 2 '08 Wave 3 '09

Shopping Around

(Base: All aged 15-74 – 1,000)

Supermarkets & NewsagentsShops selling clothing or footwearInsurance products & servicesShops selling furniture or household appliances

Airlines

Car dealers

Petrol stations

Building and related service

Restaurants or hotels

Communications services

Comparison of prices

Consistently, 3 in 4 shop around for better prices with over 2 in 5 most likely to shop around and compare prices for supermarkets & newsagents.

I always compare/shop

around for better prices

I sometimes compare/shop


%

75%

Where most likely to shop around/compare prices*

%

I very rarely compare/shop

around for better pricesI never compare/shop


75%

# All others 1% or less

%

* New Question

17

70 64

13 22

8922 12 2

5

Key Influencing Factors in Determining Where to Shop

%

Price

Price has increased its importance as a key influencing factor in determining where to shop.

Strongest Influencing Factor

(Base: All Aged 15-74 – 1,000)

%

Wave 3 2009 Wave 2 2008

Convenience

Shopped there previouslyService

OtherDon’t know

18

44

9

1

1

1

9

2

9

1

1

8

Biggest Influencing Factors Across Sectors – I

Supermarkets and newsagents*Shops selling clothing or footwearInsurance products & servicesCar dealers

Airlines

Petrol stationsShops selling furniture/ household appliancesBuilding & related services

Restaurants or hotels

Communications services

Travel agents

Pubs

Price Convenience Service Having shopped there previously

% % % %

(Base: All aged 15-74 – 1,000)

Service is the biggest influencing factor in determining what restaurants or hotel to visit. Price, convenience and having shopped their previously are all

most important when choosing a supermarket or newsagents to shop in.# New question

42

14

7

6

5

5

5

3

2

2

2

2

–

13

6

2

4

3

4

4

4

17

6

1

6

26

14

4

4

2

3

3

3

7

3

3

5

* Asked of the full sample – both grocery shoppers and non-grocery shoppers.

19

1

1

1

1

Biggest Influencing Factors Across Sectors – II

Entertainment at home

Personal care

Banking products & services

Pharmacies

Energy suppliers

Entertainment outside the home

TV service providers

Public transport

Local authority bin services

Education providers

Price Convenience Service Having shopped there previously

% % % %

(Base: All aged 15-74 – 1,000)

–

# New question

–

–

–

–

–

–

–

–

1

2

1

4

1

1

3

1

–

1

6

5

9

3

2

2

2

1

1

1

7

5

5

1

1

1

1

AppendixBranded v. Unbranded

Product Category Choices

21

79

69

67

67

67

66

63

61

Branded Goods Most Likely to Buy

% %


Own Brand V’s Branded Goods – I

Tea/coffee

Breakfast cereal

Yoghurts

Bread

Chocolate/sweets

Butter/spreads

Soft drinks

Toiletries

Toilet tissue/kitchen towel

Household cleaning products

Milk

Tinned/frozen food

Biscuits

Juice drinks

Toiletries

Bread

69

59

50

39

38

35

33

29

56%

* New Question

Own Branded Goods Most Likely to Buy

Consumers who are responsible for the main grocery shop are most likely to buy branded goods of tea/coffee, breakfast cereals, yoghurts, bread, chocolate and sweets. They are most likely to

buy branded goods of toilet tissue/kitchen towel, household cleaning products and milk.

22

59

58

56

54

47

38

29

26

Branded Goods Most Likely to Buy

% %


Own Brand V’s Branded Goods – II

Beer

Biscuits

Juice drinks

Tinned/frozen food

Milk

Household cleaning products

Baby products

Toilet tissue/kitchen towel

Those responsible for the main grocery shop are least likely to buy own branded baby products and beer. Just over 1 in 4 are likely to buy branded toilet tissue/kitchen

towel.

Butter/spreads

Breakfast cereal

Soft drinks

Yoghurts

Chocolate/sweets

Tea/Coffee

Beer

Baby products

29

26

25

24

22

16

10

6

56%

* New Question

Own Branded Goods Most Likely to Buy

Business

NCA Grocery Shopper Survey July 2009