Boosting sales of beef with a second stimulus check
Chicago: A survey conducted on August 11 by Chicago-based market research firm Information Resources, Inc. revealed that Americans would be more inclined to spend their second stimulus cheque from the US government on meat rather than other foods and drinks.
A $2,400 stimulus cheque was given to married couples earning less than $150,000, while individuals earning less than $75,000 were given a $1,200 stimulus cheque due to the economic impact of Covid-19. IRI estimates that the first stimulus payment reached over 90% of households.
Despite the fact that Congress has not yet approved a second stimulus package, IRI questioned primary buyers in a study conducted from July 31 to August 2 how they would use a second cheque.
Chart displaying the top CPG recipients of the upcoming stimulusUp from 16% who stated they used the first bill to buy those products, 21% indicated they would buy more meat (chicken, turkey, beef, hog, etc.). Other dietary responses included purchasing more fresh produce (20%, up from 15% for the initial check), more snacks (5%) rather than 6%, and more pre-made, easy meals (4%), as opposed to cooking from scratch. A quarter of respondents indicated they would use a second cheque to visit eateries or order takeaway more frequently—a rise of 5%.
According to the survey, 27% of respondents indicated they would spend a second stimulus check to purchase more groceries and other necessities for the home, which is the same percentage as those who said they would use the first check to purchase the same goods. The stimulus payment added to savings or investment accounts (42% vs. 35%), which beat out rent, mortgage, taxes, or utilities (41% vs. 4.1%), was the most popular response for the second check.
When asked how a second stimulus check would affect their shopping habits, 15% of respondents stated they would visit mass merchants more frequently, while 4% said they would visit those stores less frequently. Grocery stores were another response, with 14% stating they three percent said they would shop less and four percent said they would shop more; online-only retailers saw increases of 14% and 6%, club stores saw increases of 11% and 4%, dollar stores saw increases of 8% and 5%, prescription stores saw increases of 4% and 5%, pet specialty stores saw increases of 3% and 8%, and convenience stores saw increases of 3% and 8%.
Additionally, IRI questioned how consumers’ purchasing habits may be impacted by losing a $600 weekly jobless benefit. Purchase fewer meat (35%), buy fewer fresh fruits and vegetables (29%), buy fewer snacks (27%), buy fewer luxury products (24%), and move more purchases to store brands rather than national brands (19%) were the top responses from the 1,417 respondents who got unemployment benefits purchase less handy pre-packaged meals and prepare more food from scratch (18%), rely more on food pantries (17%), and dine out or order takeout less frequently (17%).