People buying less fast food as grocery prices remain high

People spend less on Fast Food this summer, but according to new consumer research, they replace these dishes with smaller treats than the supermarket.

Ordinary and fast-food restaurants have decreased by 6% in customers compared to the last summer from three months to mid-July, and research by WorldPanel was found.

However, shoppers were still buying branded foods instead of exchange for cheaper, branded alternatives.

WorldPanel, grocery price inflation from July to August fell marginal, but consumers are still trying to save because of the high cost of daily foundations, he said.

Fraser Mkevitt, President of Retail and Consumer Insight in WorldPenel, said high grocery prices affect people’s spending habits in other areas such as eating outside.

“What people pay for supermarket shopping affects their expenditures in other parts of the high street, including eating and drinking habits.” He said.

“Ordinary and fast service restaurants have seen a decrease in visitors during the summer, 6% dropped by 2025 for three months-compared to the past year.”

However, coffee shops increased this trend with 3% visits in the same period.

Mr. Mkevitt said that people are still looking for treats in the store. “

While the sales of branded grocery products increased by 6.1% in August, sales of their own label alternatives increased by 4.1%. WorldPenel’s report has found the biggest gap in favor of brands since March 2024.

According to Sarah Coles, the personal finance head in Hargreaves Lansdown, there is a tendency towards people who prefer smaller, cheaper ways to treat themselves.

When they want to reduce spending “one of the first thing to eat outside”.

However, Mrs. Coles said it was “more cost -effective ways to get the same prize, such as coffees or sweet treats from supermarket.

Instead of choosing a branded version of many of them, many of them added “trade” to branded refreshments, because it was still cheaper than a meal.

Mkevitt, branded sales, personal care, confectionery, non -alcoholic beverages and hot drinks categories “especially dominant”, he said.

The WorldPenel report fell from 5% of grocery price inflation in August and 5.2% in July. Chocolate, fresh meat and coffee costs rose fastest, while champagne and dog food saw the biggest decreases in the price.