Retail Market Trends

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Most Americans (70%) say they are extremely or very worried about rising grocery prices, and 78% said they are at least somewhat concerned about the impact of tariffs on the cost of imported food and ingredients.

While most morning meals are prepared at home, on-the-go and away-from-home breakfast occasions are expected to experience some growth through 2027, driven primarily by Gen Z and millennial consumers. 

Comprising 20 experts from diverse segments of the culinary world, the SFA Trendspotters track emerging specialty food and beverage products in their own work and at the bi-annual SFA Fancy Food Shows, thereby getting an early look at the flavors, formats, and ideas that will hit mainstream retailers and restaurants sooner than later.

These reports highlight that Hispanics now make up 20% of the US population and account for 71% of national population growth between 2022 and 2023. More than 25% of Gen Z and Gen Alpha identify as Hispanic, demonstrating the long-term potential of this powerful consumer group.

The trend predictions are developed by Kroger's industry-leading team of food experts including Our Brands' product developers, chefs, buyers, culinary specialists and Kroger's retail data science arm, 84.51º, for a well-rounded projection of what customers will be buzzing about for the upcoming year.

Parents care about health and wellness for their children, and their purchasing patterns drive innovation toward healthier children’s food and beverage products. We see growth in numerous categories in children’s products that are positioned as healthy and better-for-you, including dairy alternatives as well as new items in the sweet and savory bakery, and confectionery categories.  

The Whole Foods Market Trends Council – a collective of more than 50 Whole Foods Market team members ranging from foragers and buyers to culinary experts – develop these trend predictions each year through a combination of deep industry experience, keen observation of consumer preferences, and collaborative sessions with emerging and established brands.

There will be an increase in diversified ingredient sourcing, while the humanization of technology will be essential for consumers who are apprehensive about technology being used to create, modify and produce the food they put into their bodies.

“Consumers are looking for wellness across every aspect of their lives, and food and beverages are playing a critical role in this transformation,” said Sally Lyons Wyatt, global executive vice president and chief advisor at Circana. 

As we move into 2025, the food industry is poised for significant transformations. Reducing sugar in kids' cereals, embracing the snack revolution, and innovating in the bakery sector will shape the future of food. These trends reflect a broader shift towards health, sustainability, and consumer satisfaction, paving the way for a more nutritious and delicious future.