Sweet treats, savoury snacks, alcohol and soft drinks are increasingly being left behind at the checkout as rising grocery costs lead shoppers to rethink their choices.
According to new research conducted by YouGov and commissioned by ShopFully, 56% of Australians are putting sweet treats back on the shelf when their grocery bill starts to get too high, followed by chips and savoury snacks (47%), alcohol (35%), non-alcoholic beverages like soft drinks (31%), and bakery items (28%).
ShopFully Australia Country Manager Brendan Straw says Aussies are feeling the pressure of rising costs, leading to tough choices at the checkout.
“While impulse buying is part of our shopping culture, it’s interesting to see how priorities shift when the bill starts to add up,” he said.
Tight budgets, tough decisions
While Australians are known for their impulse spending habits, particularly on items like toiletries and beauty products, the YouGov study highlights how tighter budgets are leading shoppers to make tough decisions.
Women are more likely than men to splurge on personal care products without thinking, but they are also more likely to return these items to the shelves when costs escalate (21% compared to 15%). Interestingly, men are more likely to put back fruit and vegetables (16%) compared to women (10%).
Generational differences also play a role in shopping decisions, with younger shoppers being more likely to return everyday essentials. Gen Z and Millennials are more likely to put back dairy products (24% and 23% respectively) and fruit and veg (22% and 18%) when faced with a high grocery bill. This compares starkly with Baby Boomers, who are far less likely to leave these items behind (9% for both categories).
Families are also feeling the pinch, with Australians who have children under 18 at home being more likely to return items like meat and fish (23% compared to 18%), dairy products (20% compared to 14%), and fruit and vegetables (20% compared to 9%) when their grocery budget is strained.
Interestingly, the report found that in-store impulse buyers are more likely to put back the majority of these items compared to shoppers who claim they don’t typically make impulse purchases. Over half of impulse buyers return sweet treats (57% compared to 41%) and chips or savoury snacks (48% compared to 32%).
Higher-income households are, however, somewhat shielded from these behaviours. Australians earning $150,000 or more annually are the least likely to ever put back meat or fish due to a high grocery bill (11%).
Cautious spending to continue
The findings mirror those released by global consumer intelligence company NeilsenIQ in its Mid-Year Consumer Outlook: Guide to 2025 report.
The study found 60% of consumers in Australia said they will buy fewer snacks and confectionery products if prices continue to increase or remain high for the next three months.
Rising food prices is Australian consumers’ top concern over the next six months, according to NeilsenIQ, with 36% of respondents indicating as such. Increasing utilities cost followed as the second biggest spending concern for Australians (23%), followed by increased housing costs (21%), while concerns over economic downturn and rising interest rates were both even at 14%.
Many Australian consumers (41%) intend to spend less on out-of-home dining in the next 12 months. The same proportion (41%) expect to spend less on clothing and apparel.
For out-of-home entertainment (eg cinemas, theme parks, shows and sports events), 37% of surveyed Australian consumers expect to spend less in the next 12 months, and 39% of Australian consumers say they will cut back on food delivery and takeaways.