Consumers Seek Value in Meals and Gifts This Holiday Season

As the holiday season approaches, consumers are increasingly focusing on finding value in both meals and gifts. This shift in spending habits is driven by a combination of economic factors and changing consumer behaviors, leading to significant impacts on the retail and restaurant industries.

Inflation and rising food prices have led consumers to prioritize budget-friendly options. According to a report by data analytics firm Numerator, 42% of consumers bought private-label products to save money in 2024. This trend is expected to continue during the holiday season, as consumers seek affordable alternatives to name-brand products.

The growing demand for private-label brands is evident in the success of lines like Walmart's Bettergoods and Target's Dealworthy, which saw sales volume increases of over 200% in 2024. This shift towards private-label brands is a clear indication that consumers are looking for value and affordability in their purchases.



Another trend is the growing demand for affordable dining options. Discount retailers like Dollar General and Dollar Tree have seen an increase in sales, as consumers look to stretch their budgets further. Fast-casual and quick-service restaurants have also seen a surge in popularity, as consumers seek out lower-priced meal options that still provide a satisfying dining experience.

The impact of these changes on the retail and restaurant industries is significant. Retailers that offer private-label brands and affordable pricing strategies are well-positioned to capitalize on the growing demand for value. Meanwhile, restaurants that focus on affordability and convenience are likely to see increased foot traffic and sales during the holiday season.



However, those that fail to adapt to these shifting consumer preferences may struggle to maintain their market share and profitability. As consumers continue to prioritize value and affordability, retailers and restaurants must evolve their strategies to meet these changing demands.

In conclusion, the holiday season is a critical time for the retail and restaurant industries, as consumers seek out value in both meals and gifts. By understanding and responding to the changing preferences of their customers, retailers and restaurants can successfully navigate this competitive landscape and emerge as winners during the holiday season.