Inflation continues to reshape how Americans buy food, both at grocery stores and restaurants. Many are trading down to cheaper brands, buying less, or reducing how often they dine out. These shifts are especially pronounced among those living paycheck to paycheck, who now make up 65% of U.S. adults. Even higher-income households are seeking more affordable options, particularly for packaged foods.
Key Takeaways:
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Food inflation is prompting Americans to buy less, choose cheaper options, and dine out less frequently.
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Price sensitivity is highest among paycheck-to-paycheck households, but even wealthier consumers are trading down.
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New tariffs and ongoing cost pressures could keep food prices elevated, driving further changes in consumer behavior.
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