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Kroger [withheld] household grocery panel data licensing SNAP - The document discusses the impact of ending pandemic-era SNAP emergency allotments (March 2023) on purchasing power: - 22.5 million households could see reduced buying power; estimated SNAP benefits dropped from about $439 (Mar 2022) to $342 (Mar 2023) for the average SNAP household. - Resulting in higher food insecurity for tens of millions. - Insights for retailers (including Kroger) on SNAP/low-income shoppers: - Lower-income shoppers rely on grocery stores similarly to higher-income groups across core categories (meat, dairy, packaged foods); in some cases, they may spend more on ready-to-eat meals and frozen foods. - They are less likely to buy fresh produce; frozen vegetables and ready-to-eat meals can be more economical. - With end of emergency allotments, SNAP/food-insecure shoppers tend to: - Spend more on fresh produce and higher-quality proteins during the allotment period, then shift toward budget-friendly options as the month progresses. - Be highly price-sensitive, especially toward month-end; heavy discounting and promotions can influence behavior. - Strategic targeting guidance for retailers: - Use nuanced, price-sensitivity segmentation (beyond EBT as an identifier) to reach SNAP/food-insecure customers without compromising privacy. - Create subsegments within ultra price-sensitive shoppers, focusing on: - Preference for entry-price points and promotions. - Higher propensity for frozen vegetables, cheaper proteins, and ready-to-eat meals. - Align offers to sustain healthier purchasing patterns observed during emergency allotments: - Prioritize fresh produce, chicken/seafood, and ready-to-eat meals in promotions. - Personalize offers by subsegment rather than treating all SNAP participants as one group; tailor the right mix of products and promotions for each ultra price-sensitive subsegment and their households. - Data resources mentioned: -