Circana's latest report takes a closer look at the behaviors of shoppers within the Supplemental Nutrition Assistance Program (SNAP). Findings from the Understanding the Resilience of SNAP Shoppers report include:
- SNAP households spend 32% more per buyer than non-SNAP households, up 1% year over year.
- SNAP shoppers make 22% more trips to the store than non-SNAP households but their spending per trip remains lower.
- SNAP shoppers buy a higher percentage of food and beverage items and prefer convenience and functional hydration.
- SNAP participation retains significant influence over 20% market share.
- Private brand spending remains close between both groups of shoppers.
- SNAP shoppers' higher frequency and dollar spend on name brands emphasize brand loyalty.
“With one in eight Americans relying on SNAP for their nutritional needs, this group represents a critical segment for retailers and manufacturers. We expect to see growth in many food and beverage categories driven by SNAP shoppers throughout the next year. Successfully attracting, retaining, and re-engaging them will require thoughtful planning and targeted strategies," explained Sally Lyons Wyatt, Global Executive Vice President and Chief Advisor, Circana.
Retailers looking to appeal to the SNAP shopper demo should consider strategies such as:
- Co-promoting "occasion deals" that include private and name brands to help increase basket sizes and provide greater value
- Focus on affordability and highlight the demand for accessible meal solutions that meet their needs
- Careful pricing strategies mixed with timely promotions to retain shopper loyalty
- Aligning local marketing initiatives with payment schedules to possibly enhance buy rates and frequency
- Meal and appliance ideas tailored towards "just-in-time" purchasing habits
- Highlighting assortment, pricing, and store placement
For more on the report and strategy suggestions, check out Circana's on-demand webinar.
