Top 5 grocery trends

NIQ has released a report on the five biggest grocery trends that will shape 2025. The first trend is “Private Label Continues to Grow”. Globally, 50% of respondents report that they are purchasing more private label products than ever before. Shifting demographic patterns and consumers’ increasing focus on value-driven shopping is not expected to change.

Second trend is “Sustainability Matters to Consumers”. 95% of consumers say they are trying to take some action to live sustainably. NIQ advises companies to make sustainable attributes of products accessible on product pages and clear on packaging. Trend 3 is “Consumers are Trying to Save”. Inflationary pressures coupled with increased housing costs and broader economic uncertainties are causing consumers to adjust their purchasing habits to navigate a financially challenging landscape. To stay relevant with these shifting consumers, more premium grocery brands may need to do a better job of conveying the true value of their products and position them as purchases worth the extra expense.

Fourth trend is “Pricing and Promotions are Key”, dynamic pricing, personalized pricing, or automated pricing coupled with thought-out promotion strategies are key to success. Last trend is “Omnisales are on the Rise”: sales of CPG products purchased online are growing and the area with the most opportunity for online sales growth going forward is Food. Increasing sales in an omnichannel world requires focus and accurate, actionable data. Tracking retail sales, market trends, and consumer behavior all play a role in the process of aligning product offerings with consumers’ needs and be visible across all channels.

Top 10 food & beverage trends

Market insights provider Innova has published its annual Top 10 Food and Beverage Trends for 2025. The first trend is “Ingredients and Beyond”. It refers to companies differentiating themselves by including higher quality ingredients in their products, for example, protein, bioavailability and absorption.

Second trend is “Health – Precision Wellness”, with 60% of consumers say that they are proactive about their health. Companies that play into this trend provide easy-to-consume functional items tailored to consumers’ life stage and health needs. Third trend is “Flavors – Wildly Inventive”, referring to unexpected flavours, fusion cuisines, unusual formats and limited editions. Trend 4 is “Gut Health – Flourish from Within” which highlights consumers’ growing interest in digestive health, driven by key ingredients like fibre and probiotics. Trend 5 is “Plant-based – Rethinking Plants” based on the facts that 55% of consumers believe plant-based products should be standalone items rather than meat and dairy alternatives.

The final five trends in the Top Ten for 2025 are: “Sustainability – Climate Adoption”; “Beauty Food – Taste the Glow”; “Food Culture – Tradition Reinvented”; “Mood Food – Mindful Choices”; and “AI – Bytes to Bites”.

Elevate your private label expertise: Join PLMA’s Executive Education Programme!

In today’s competitive marketplace, private labels have become defining assets for retailers worldwide. But managing private labels effectively requires a specialized skill set—one that’s often overlooked in traditional business training. That’s where PLMA’s Executive Education Programme comes in. Taking place on 5-6 March 2025 at Nyenrode Business University near Amsterdam, this exclusive event offers a deep dive into the strategies and insights you need to excel in the private label industry.

Whether you’re a retailer, manufacturer, or executive involved in private labels, this programme is tailored for you. Here’s what you’ll gain:
•    Comprehensive Expertise: Learn about new product development, retail trends, private label strategy, retailer-manufacturer dynamics, logistics, NPD, sourcing, ESG, and marketing.
•    Actionable Insights: Explore retail case studies and get practical takeaways from experts that you can immediately apply to your business.
•    Collaborative Learning: Engage with like-minded professionals and leading speakers in interactive sessions that foster knowledge-sharing and innovation.

Private label success hinges on the unique collaboration between retailers and suppliers. This programme is designed to accelerate your understanding of private branding and provide you with the tools to succeed in this dynamic sector. Through thought-provoking lectures and engaging workshops, you’ll be equipped with cutting-edge strategies and solutions tailored for today’s market demands.

Stay ahead in the private label industry with PLMA’s Executive Education Programme—the go-to resource for retailers and suppliers seeking to sharpen their skills and grow their businesses. Check the curriculum and reserve your spot today here.

Trade agreement strengthens ties between EU & South America

The European Union (EU) has finalized a trade deal with Mercosur, a bloc consisting of Argentina, Brazil, Paraguay, and Uruguay. European Commission President Ursula von der Leyen hailed it as a "historic milestone" in today’s volatile global economy.

If ratified, the agreement will lower tariffs, streamline customs processes, and enhance EU access to raw materials. This could boost trade between the two regions, which currently accounts for nearly € 113 billion annually. EU exports, including cars, machinery, and pharmaceuticals, are expected to rise, while South American exports of minerals like lithium and nickel, as well as agricultural products, will gain smoother entry into European markets. The deal would reduce prices for consumers.

The Mercosur-EU trade bloc encompasses nearly 800 million consumers and 20% of global GDP. EU officials estimate that 60,000 European companies already export to Mercosur, half of which are small businesses. For Germany, facing economic headwinds, the agreement offers an opportunity to reinvigorate its export sector.

However, ratification faces hurdles. France, Italy, and Poland have expressed concerns about environmental protections and fair competition for European farmers. French trade minister Sophie Primas underscored her country’s resistance, emphasizing the need for stricter safeguards to protect local industries and uphold European standards.

After the agreement is translated into all EU member state languages, it will go to the European Council for ratification, where EU countries are represented by their trade ministers. If the agreement is not blocked, it then must be ratified by the European Parliament.

To drive sales, Carrefour launches geolocated connected TV campaigns

Carrefour in France is pioneering geolocated TV advertising to promote non-food products while advancing its strategic goal to phase out paper leaflets. This innovative initiative targets viewers using internet-connected TVs—representing nearly 90% of French households—within Carrefour store catchment areas. Weekly campaigns highlight discounted products.

“We aim to maximize promotion visibility through digital channels while reducing reliance on print,” says Frédéric Preslot, Carrefour’s Operational Marketing Director for France. He adds that this complements the retailer’s existing investments in its mobile app and CRM systems.

To streamline campaign management, Carrefour collaborates with CoSpirit, which has supported its local marketing efforts since 2023. “Connected TV allows us to innovate and fine-tune advertising pressure for each campaign and store,” explains David Scalia, Sales Director at CoSpirit.

Carrefour also leverages Armis' platform to automate and industrialize ad distribution, creating highly targeted campaigns based on postal codes. “This is a first in retail for such detailed, industrialized campaigns,” notes David Baranes, co-founder and co-CEO of Armis.

To control production costs, Carrefour partners with Wonder to create 3D video ads for connected TV platforms. Starting this year, artificial intelligence will further streamline video production.

Carrefour’s campaigns air on leading connected TV platforms, including TF1+, M6+, FranceTV, MyCanal, RMC-BFM, and YouTube, avoiding live TV channels. According to the retailer, these ads achieve hundreds of thousands of views per operation, significantly boosting sales of promoted products.

As part of its sustainability strategy, Carrefour plans to eliminate paper catalogs by 2026. Over 300 stores have already stopped distributing leaflets, with remaining stores significantly reducing printed content. CEO Alexandre Bompard views this as a critical step in Carrefour’s strategic transformation.

Connected TV campaigns signify a bold move towards digital marketing leadership, enabling Carrefour to connect more effectively with consumers while reducing environmental impact.

Albert Heijn says it is first supermarket to receive B-Corp Certificate

Dutch retailer Albert Heijn receives the B-Corp certificate, an award for companies that pursue social and environmental impact in addition to profit. According to the company, it is the first supermarket in the world to obtain the certificate. It had been focusing on getting the award since April 2023.

To obtain B-Corp certification, companies undergo an extensive audit. The assessment covers the company's entire operation and measures the positive impact of the company in areas of governance, workers, community, the environment, as well as the product or service the company provides. Candidates must score at least 80 points on the audit, 200 points is the maximum. Albert Heijn scored 97.9 points, and the retailer is happy with the score. Companies must re-certify every three years to retain B Corporation status.

Weight loss meds alter food spend of drugs' users

Consumers who use GLP-1 medications for weight loss, like Ozempic, shift their purchasing habits. Users make fewer food and beverage purchases during the first three months of use and return closer to benchmark levels by the end of year one. Spend on groceries can reduce by 6% overall, though purchases of produce, meat, snacks, protein bars and yogurts increase. This is one of the findings of a new report from market information company Circana.

GLP-1 weight-loss users shift their spending on food purchases both in and out of home. At grocery retail, they are spending more on foods that support GLP-1 balance, including vegetables, eggs and nuts. Conversely, they are making fewer purchases of products they’ve been recommended to avoid, including spicy foods, fatty proteins, and beverages with added sugar.

The evolving behaviours reveal a clear connection between category growth and the health-driven preferences of these consumers, offering brands fresh opportunities to align with their goals. “A deeper understanding of GLP-1 medications and their roles in weight loss has unlocked new opportunities to enhance the food, beverage, and non-food products that support consumers’ overall well-being,” said Sally Lyons Wyatt, global executive vice president and chief advisor, Circana. “As accessibility, availability, and affordability of these medications improve, it will become critical for companies to develop strategies that support consumers on their health journeys.

By addressing the preferences of these consumers—such as an increased focus on protein, vegetables, and fruits, along with reduced consumption of sugar, carbs, and sodium—brands can align product innovation and marketing strategies with these consumers’ health goals. Additionally, categories such as high-protein, ready-to-eat meals, and portion-controlled snacks are well-positioned to meet the specific needs of weight loss medicine users, demonstrating the potential for growth in both traditional and emerging product segments.

 

Consumers feel sorry for a lonely banana

Researchers from German universities have found out that customers are more likely to pick up an individual banana, often left as a result of people tearing others from the bunch, if they are emotionally triggered.

The academics placed a sign in front of orphan bananas (individual bananas left as a result of people tearing others from the bunch) saying “we are sad singles and want to be bought as well”. On average, sales in single bananas went to 3.19 with the sad sign – an increase of 58%.

The researchers carried out the experiment in a major German supermarket chain, observing the purchasing behaviour of 3,810 customers over the course of 192 hours.

No more than 20 seconds to influence a buyer

The average time a consumer spends in front of the shelves is very short: between 4 and 20 seconds. Purchase decisions are quick and instinctive and are driven mainly by emotion rather than rationally.

Research by Professor Vincenzo Russo, IULM University, Milan shows how quick and instinctive purchase decisions are, driven mainly by emotion rather than rationality. The brain tends to trick us and create a kind of bias in our perceptions. The packaging, its colour or shape, the appearance of the product and many other factors can influence our perception in a way that is sometimes different from reality.

At PLMA’s upcoming Packaging conference on 30 January in the Hague, Steen Tjarks, President & Co-founder of design agency Tjarks & Tjarks will dive into the topic of “Psychology of Packaging: How Design Drives Consumer Decisions -  Look, Feel, Buy: The Power of Design in Consumer Choice for Private Brands”. For more information click here.

 

Are autonomous shops the future or a fad?

The supermarket checkout has long been a top complaint among customers. Amazon shook up the industry in 2018 with the launch of its first autonomous store, Amazon Go. The “Just Walk Out” system used a dedicated app and an array of cameras and sensors. After linking a bank account or credit card, customers could walk into the store, pick and bag their items, and leave without stopping at a checkout.

Six years later, Amazon is closing several of these stores. Despite sufficient foot traffic, profitability has been elusive. In the meantime, other retailers have launched their own trials. For example, Aldi opened an autonomous store called Shop & Go in the Netherlands. Despite adjusting payment options, the pilot ended after just over two years. Similarly, Carrefour’s cashierless Carrefour Flash store in France closed two years after its debut.

In contrast, Rewe recently launched a new autonomous Grab&Go store format under the Rewe Ready banner. This store is located at an electric vehicle fast charging station, the unmanned store offers around 250 items and uses AI-driven technology for automatic payment as customers leave. It is one of four smart store concepts the retailer is currently testing.

In the UK, Tesco continues to operate its GetGo concept, launched three years ago, while Sainsbury’s SmartShop Pick & Go collaborates with AI startups focusing on ease of use and privacy. Carrefour Belgium just opened an autonomous shop at its headquarters near Brussels. It is called Buybye, measures 18 sqm, works with an app, and was developed in collaboration with start-up Reckon AI.

While some retailers have struggled to make autonomous stores profitable, the concept of cashierless shopping is far from dead. Instead, it is evolving. Early pioneers like Amazon may be scaling back, but other players, such as Rewe and Tesco, are refining the model with new technologies and strategic locations. As AI, computer vision, and customer demand for frictionless shopping experiences continue to advance, the next generation of cashierless stores could overcome today’s challenges. Success will likely depend on balancing operational efficiency with customer convenience, proving that the future of retail may still be a checkout-free one.