Fresh-format grocers are gaining ground with affluent shoppers and benefiting from a rise in shorter shopping trips, according to new research from Placer.ai released last month.
Overall visits to stores emphasizing produce and other fresh items rose 10% year over year in the second quarter. That growth outpaced value grocers, which saw visits climb 3.6%, ethnic grocers at 2.5%, and traditional grocers at 1.5% – the latter marking their first positive growth since early 2024.
The report shows that value chains like Aldi are seeing momentum cool. “The sector recorded a 7.7% year-over-year increase in foot traffic during the first quarter of 2024, but by Q2 2025, that growth had slowed to just 3.6%,” Placer.ai noted. While consumers remain price-conscious, the research firm said “its impact has diminished, reducing its role as a growth driver.” Between 2022 and 2024, inflation pushed many shoppers toward discount retailers, but much of that migration appears to have leveled off.
Fresh-format retailers, by contrast, are pulling in higher-income consumers. “Retailers like Sprouts Farmers Market report a median household income of over $100,000 among their customers,” the report found. Placer.ai said the segment’s rapid expansion highlights how “premium grocery brands that focus on health and wellness are becoming the main engine of sector growth.”
Shopping habits are also shifting. Grocery trips have grown shorter over the past two years, with fresh-format stores capturing supplemental visits from consumers seeking specific items and a faster shopping experience. Still, loyalty remains a challenge for the segment. According to Placer.ai, these grocers “have the lowest share of loyal customers—those who shop more than four times per month.” Traditional grocers continue to lead in loyalty, with H-E-B at 38.5%, Kroger at 27.6% and Meijer at 24.8%.
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