Promotions more in demand

Fewer and fewer people are buying “organic” in the supermarket

Inflation is changing purchasing behavior.

(Bild: Harald Dostal)

The high level of inflation is clearly reflected in consumers' shopping behavior. Whilst the proportion of special offers has doubled in less than 20 years, "organic", for example, is on the decline. Vegan milk and meat alternatives are not making any headway.

According to the new RollAMA analysis, households spend around 220 euros per month at the grocery store. While quantities are stable, spending in supermarkets has risen by over ten percent due to massive price increases. As a result, more and more consumers are already trying to beat inflation with special offers at rock-bottom prices.

Half of meat is bought on special offer
Customers are already spending every second euro on beef and pork on special offer, and the proportion is also high for butter at 46 percent, compared to just eleven percent 20 years ago. More than one in three ready meals also ends up in the shopping trolley at a discount (see chart). "The proportion of special offers has been rising for years and is likely to remain high or even increase", says Christina Mutenthaler-Sipek, Managing Director of AMA Marketing. Price pressure is therefore high.

(Bild: stock.adobe.com, Krone KREATIV)

However, consumption of meat is also shifting within the varieties: While more expensive beef and veal are losing volume, turkey meat in particular is in high demand. In addition, more and more customers are buying prepared products such as pre-seasoned chops.

However, consumers cannot completely escape the price rally for many products thanks to the discount campaigns. According to the AMA analysis, cheese has become significantly more expensive, while the price of minced meat in particular has skyrocketed. Frozen vegetables also rose at an above-average rate. The increase was particularly high for potatoes, with consumers having to pay an average of 23.4 percent more at the supermarket checkout. "There are traditionally large fluctuations here," emphasizes Mutenthaler-Sipek.

Potatoes became over 20 percent more expensive.

(Bild: ©zeralein - stock.adobe.com)

Organic products: Price awareness often beats environmental considerations
The desire for special offers and savings comes at the expense of higher-priced and high-quality products. The proportion of organic products therefore fell slightly from 11.5% to 11%. "High inflation has curbed demand here somewhat," says the AMA Marketing Director. Although more and more Austrians are now buying organic, price awareness is increasingly taking precedence over environmental considerations when it comes to individual purchasing decisions.

This mainly affects younger people: 15 years ago, for example, people under 40 were more likely to buy organic than consumers from the 60 plus generation. In the meantime, households in which the over-60s do most of the shopping are the most diligent "organic" shoppers, with one in three paying attention to this, compared to only one in four of the younger generation. In general, however, the desire for organic goods is highest among the youngest and oldest shopper groups, while the 40 to 60-year-olds attach the least importance to it.

Christina Muthentaler-Sipek: "The growth in organic products has slowed down."

(Bild: © MICHAEL SAZEL FOTOGRAF)

Regionality more important than ecology
For many consumers, where the product comes from is more important than organic. Many prefer goods from Austria or - even better - from their own region and province. Around 80 percent pay attention to regionality when it comes to bread, and the Austrians' favorite pastry is bread rolls, often baked from Austrian flour. When it comes to eggs, as much as 90 percent come from local farms, and almost 70 percent or more of meat is also bought from Austria.

For many, the origin of ready meals and frozen foods seems to be of secondary importance. Compared to meat, when it comes to fish it can also be something from abroad, and not just seafood such as tuna and the like.

Little appetite for vegan alternatives
Plant-based alternatives are not making much headway. Three to four years ago, there was a rapid increase here, but this has now clearly slowed down. The quantity increased only marginally by 2.2 percent; Austrians only eat 3,600 tons of meat alternatives, which is a measly one percent of the total quantity.

Vegan "milk", made from oats or soy for example, is more popular, but it also only accounts for three percent. The proportion of vegans in Austria is actually the highest in Europe, with around five percent living entirely without animal products, according to an international study. The fact that the proportion of oat drinks, meat substitutes and the like is so extremely low shows that many alternatives have not yet fully reached even the narrowest target group. There can be no talk of a boom.