13 June 2008, 18:57 PM
  • The rise in food prices could have a significant impact on consumer behaviour, as well as retailer and supplier strategies, reveals a new report by consultant, Deloitte Touche Tohmatsu.

The study, Food and Beverage 2012 – A Taste of Things to Come, explains that with consumers already affected by higher energy costs and economic uncertainty, the increase in commodity prices could change the face of retailing.

Dr Ira Kalish, Deloitte research’s consumer business director, says, “We are already seeing signs of higher food prices leading to a shift in purchasing patterns towards lower-priced, private label and discount products.”

However, Dr Kalish believes that the current situation could also result in customers staying at home and treating themselves to good food, rather than going out for a meal. Lawrence Hutter, global consumer business lead at Deloitte, adds, “Consumers switching from eating out to shopping for food should protect growth. Price inflation also presents retailers with an opportunity to protect and enhance margins as consumers become more accepting of price rises.”