U.S. Retail Report | Winter 2022

by | 04 December 2022

How Today’s Grocers Make Key Decisions to Protect the Bottom Line, and the Implications to CRE

The modern American supermarket sales revenue totaled nearly $766 billion (2021), more than double what it was 20 years ago. Once a place to quickly pick up household staples like milk, eggs, and bread, today’s supermarkets now provide a wide variety of food, beverage products, services, and dine-in options to meet the demand of America’s changing eating habits. These changes have led to a steady increase in per-person spending on food in the U.S., which is now being tested by inflation rates. When demand for discretionary items slow, we will see a loss of profit from selling higher margin products. This, along with increased discounting to clear down inventory and some higher operating costs, are hitting the bottom line.

Read more about what we forecast and the trends we see.

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