Sponsored By

SNAP households spend 32% more than non-SNAP households

And affordability remains a year-round priority for these consumers

Supermarket News Staff

November 26, 2024

2 Min Read
A hand swiping a credit card
While SNAP shoppers make 22% more trips to the store than non-SNAP households, their spending per trip remains lower.Getty Images

Supplemental Nutrition Assistance Program (SNAP) households spend 32% more per buyer than non-SNAP households, according to a new report.

That number is up 1% year over year, according to the report, “Understanding the Resilience of SNAP Shoppers,” from Circana.

The report explores the behaviors of SNAP consumers, highlighting opportunities for consumer packaged goods (CPG) manufacturers and retailers to better support this group.

While SNAP shoppers make 22% more trips to the store than non-SNAP households, their spending per trip remains lower. Given the program’s restrictions on eligible purchases, these shoppers buy a higher percentage of food and beverage items and demonstrate a preference for convenience and functional hydration.

Despite a slight decline in SNAP participation (-1.7% year over year), the group retains significant influence over 20% market share, predominantly in value-based channels. While private brand spending among SNAP shoppers remains close to non-SNAP levels, their higher frequency and dollar spend on name brands underscore brand loyalty within this segment.

“SNAP participants have shown incredible resilience over the past year, even in the face of continued economic challenges,” said Sally Lyons Wyatt, global executive vice president and chief advisor, Circana. “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.”

Related:Canadian charity group launches electric mobile food pantry

While SNAP shoppers demonstrate a preference for name brands, co-promoting “occasion deals” that include both private and name brands can help increase basket sizes and provide greater value to these households. Affordability remains a year-round priority for SNAP consumers, highlighting the demand for accessible meal solutions that meet their needs. 

For products or stores losing both dollars and trips, careful pricing strategies and precise timing of promotions are essential to retain shopper loyalty. Categories gaining both dollars and units should incentivize purchasing multiple items through discounts and connect with shoppers through social media campaigns. Aligning local marketing efforts with payment schedules can further enhance buy rates and frequency.

Meal and appliance ideas tailored to the “just-in-time” purchasing habits of SNAP shoppers will align with their need for convenience. Leveraging United States Department of Agriculture (USDA) SNAP education materials can help shoppers find cost-effective ways to maintain their well-being while managing their budgets. By focusing on the right assortment, pricing, and store placement, retailers and CPG brands can support SNAP consumers while unlocking significant growth opportunities in the food and beverage categories.

Related:Walgreens, Albertsons accept SNAP EBT via Uber Eats

Stay up-to-date on the latest food retail news and trends
Subscribe to free eNewsletters from Supermarket News

You May Also Like