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In September 2024, Placer.ai released two white papers: The Healthcare Opportunity in Grocery and Pricing Strategies Driving Restaurant Visits in 2024. Below is a taste of our findings from The Healthcare Opportunity in Grocery – which dove into the data to explore the impact that wellness offerings can have on grocery store visitation patterns.
Today, many grocery stores offer a range of services – from primary and urgent care to dental and mental health care. In addition to providing an important community service, in-store clinics can boost foot traffic at chains, help health providers reach more patients, and allow shoppers to manage their health and home needs in one convenient trip.
Analyzing foot traffic to grocery stores with and without in-store clinics shows that across chains, locations with on-site healthcare offerings drew more visits in H1 2024 than their chain-wide averages.
The Kroger Co., for example, has been a leader in in-store healthcare services since the early aughts. The company introduced its in-store medical center, The Little Clinic in 2003 – and today operates over 225 Little Clinic locations across its Kroger banner, as well as regional chains Dillons, Jay C Food Stores, Fry’s, and King Soopers.
And in H1 2024, the eight Dillons locations with clinics saw, on average, 93.0% more visits per location than the chain’s banner-wide average. Jay C, which offers two in-store clinics, also saw visits to these venues outpace the H1 2024 banner-wide average by 92.9%. For both chains, relatively small overall footprints may contribute to their outsize visit differences: Indiana-focused Jay C operates just 22 locations, all in the Hoosier State, while Kansas-based Dillons has some 64 locations.
But similar patterns, if somewhat less pronounced, could be observed at Kroger (43.0%), Fry’s (19.2%), and King Soopers (16.5%) – as well as at H-E-B (14.5%), which boasts its own expanding network of in-store clinics.
An analysis of household compositions across the potential and captured markets of Kroger-owned stores with and without Little Clinic offerings suggests that families with children are extremely receptive to these services.
In H1 2024, Kroger, King Soopers, Fry’s, Jay C, and Dillons all featured captured markets with higher shares of STI: PopStats’ “Households With Children” segment than their potential ones – highlighting the chains’ appeal for families. But the share of parental households in those stores with Little Clinics jumped significantly higher for all five banners.
The share of families with children in King Soopers’ overall captured market stood at 28.3% in H1 2024, higher than the 27.2% in its potential one. But the households with children in the captured markets of King Soopers locations with Little Clinics was significantly higher – 30.6% – and similar patterns emerged at Jay C, Dillons, Kroger, and Fry’s.
This special draw is likely linked to the clinics' focus on family health services like physicals, nutrition plans, and vaccines. The convenience of being able to take care of healthcare, grocery shopping, and pharmacy needs all in one go makes these stores particularly attractive to parents. And this jump in foot traffic shows the strategic advantage of incorporating healthcare services into the retail environment.
Read the full report here to learn more about the impact of healthcare services on grocery visits and customer loyalty. Are shoppers more or less likely to make repeat visits to grocery stores with healthcare services? And how does the addition of a clinic affect the demographic profile of a grocery store’s captured market?
For more data-driven consumer research, visit our resource library.
2024 has been a good year for fast-casual restaurants. Limited-time offers notwithstanding, rising QSR prices have narrowed the price gap between fast food and the more premium offerings of chains like Chipotle and sweetgreen. And with many fast-casual restaurants upping their convenience games with drive-thrus and other innovations, the distinction between the two segments has become increasingly muddied.
So with summer winding down, we dove into the data to explore segment-level consumer behavior at quick-service and fast-casual restaurants. How are they performing this year? And do consumers still interact differently with the two categories?
We dove into the data to find out.
During the first half of 2024, fast-casual restaurants experienced 3.2% year-over-year (YoY) visit growth, while QSR held steady with a minor 0.4% uptick. As QSR favorites have gotten pricier, some budget-conscious diners have responded by trading up – embracing elevated fast-casual experiences that hit the sweet spot between quality and affordability.
Drilling down deeper into the data, however, paints a more nuanced picture. On weekends, both QSRs and fast-casual chains experienced positive YoY visit growth (2.1% and 4.0%, respectively) – a significant difference, but not a tremendous one. On their days off, it seems, Americans are opting for a variety of value-oriented indulgences, and both segments are benefiting.
But on weekdays, fast-casual foot traffic grew by 2.8%, while QSR visits declined slightly by 0.2%. As the return-to-office (RTO) continues apace, more affluent office workers may be driving a weekday fast-casual renaissance.
A look at driving distances to QSR and fast-casual restaurants provides further evidence that commuters may be contributing to fast-casual’s weekday YoY visit growth.
In H1 2024, a higher share of QSR visits came from customers hailing from CBGs less than two miles away from the restaurants – suggesting that QSR visitors were more likely to frequent local, neighborhood venues. Meanwhile, a significantly higher percentage of fast-casual visits (63.6%) originated from CBGs between two and 30 miles away, compared to just 56.8% for QSR. These less-local visitors may be stopping by a fast-casual establishment during their lunch break or after work, on days when they commute to the office.
Interestingly, QSRs and fast-casual restaurants drew similar shares of visitors from CBGs more than 30 miles away – perhaps suggesting that when traveling, consumers enjoy frequenting both segments.
Given fast-casual’s higher-quality offerings, it may come as no surprise that these chains tend to attract a more affluent clientele than their QSR counterparts. During the first half of 2024, the Census Block Groups (CBGs) feeding visitors to QSRs (i.e. their captured market) had a weighted median household income (HHI) of $65.7K – compared to $78.0K for fast-casual chains.
But medians only tell a part of the story – and a closer look at the segments’ visitor bases reveals a striking similarity between them: In H1 2024, the two categories’ captured markets featured nearly equal shares of a key demographic – households earning between $75K and $100K per year. This group includes both average-income families and those with a bit more money to spend. (According to STI:PopStats, the nationwide median HHI stands at $76.1K). And the ability of both quick-service restaurants and fast-casual chains to attract these consumers shows that despite their differences, the two segments do overlap – and both have plenty to offer today’s consumers.
Despite still-high prices, consumers are finding room in their budgets for affordable splurges – and fast-casual restaurants and QSRs (at least on weekends) are benefiting. How will the two segments continue to fare in the upcoming holiday season? And will their demographic middle ground expand as the line between the two categories continues to blur?
Follow Placer.ai’s data-driven restaurant analyses to find out.
This blog includes data from Placer.ai Data Version 2.1, which introduces a new dynamic model that stabilizes daily fluctuations in the panel, improving accuracy and alignment with external ground truth sources.
Walmart-owned Sam’s Club has been investing in its own independent retail media network (RMN) – Sam’s Club Members Access Platform (MAP) – for quite some time. This past summer, the RMN launched opt-in display ads in the “Scan & Go” self-checkout feature on the Sam’s Club mobile app, turning any mobile device into an in-club media channel for the chain.
We dove into the latest location analytics for Sam’s Club to understand how in-store foot traffic could drive the success of Scan & Go ads in the chain’s largest markets.
Scan & Go aims to enhance the shopping experience by suggesting product pairings for already-scanned items. The feature’s high adoption rate and frequent usage among Sam’s Club members contributes to its potential as a highly successful advertising channel. And location data indicates that the feature has the ability to attract a growing number of eyeballs.
Nationwide, Sam’s Club drew 5.1% more unique visitors during the first eight months of 2024, and 6.2% more overall visits, than in the equivalent period of 2023. In Texas, the state with the most Sam’s Club locations, the chain saw even more impressive year-over-year (YoY) unique visitor (6.9%) and visit (7.9%) growth – which could add to the appeal of advertising through Scan & Go in the Lone Star State. Meanwhile, Florida – Sam’s Club’s second-biggest market – saw YoY visit and unique visitor growth slightly below the nationwide baseline. But in the Sunshine State, too, the chain saw significant YoY jumps in visits and unique visitors – and experienced longer average dwell time than the chain’s nationwide average.
Diving into the audience segmentation of Sam’s Club’s trade areas in Texas and Florida reveals how each state offers a unique advertising opportunity to the brand’s retail media partners.
Between September 2023 and August 2024, the Sam’s Club’s Texas captured market had a higher share of families with children (31.1%) than its Florida one (24.7%), highlighting the chain’s greater reach among this demographic in the Lone Star State. But parental households are generally more common in Texas than Florida – and while Sam’s Club’s Texas markets were under-indexed for this demographic compared to the statewide baseline, the chain’s Florida markets were over-indexed for it compared to the Sunshine State’s lower baseline. So for advertisers seeking to reach Florida households with children, Sam’s Club offers a particularly enticing opportunity to do so.
Meanwhile, Sam’s Club’s Texas captured market featured a higher share of “Near-Urban Diverse Families” (8.6%) than the statewide baseline of 6.2%, while the brand’s Florida market had a slightly smaller share of the segment (6.2%) than the statewide baseline (7.3%). Texas Sam’s Club locations, it seems, offer more focused access to this demographic – both in absolute terms, and in relation to statewide baselines.
Looking closely at weekly visitation patterns to Sam’s Club in Texas and Florida provides further insight into the ideal timing for engagement with the brand’s RMN.
Between September 2023 and August 2024, the busiest days at Sam’s Club in both Florida and Texas were Saturdays and Sundays. However, Texas locations had a greater share of its weekend visits between 4:00 PM and 6:00 PM, while Florida saw a greater share of its weekend traffic between 10:00 AM and 1:00 PM.
An understanding of these patterns could help advertisers and Sam’s Club predict the potential for Scan & Go usership at specific times – offering insight into strategies and pricing methods that account for peak visitation times.
At present, Scan & Go display ads are available at all Sam’s Club’s stores, but only to select members – which means the potential engagement and revenue streams driven by the new feature have yet to be fully realized. And as Scan & Go display ads achieve success, the chain may explore additional enhancements to its multi-channel RMN.
For updates and more retail foot traffic insights, visit Placer.ai.
This blog includes data from Placer.ai Data Version 2.1, which introduces a new dynamic model that stabilizes daily fluctuations in the panel, improving accuracy and alignment with external ground truth sources.
The COVID-19 pandemic – and the subsequent shift to remote work – has fundamentally redefined where and how people live and work, creating new opportunities for smaller cities to thrive.
But where are relocators going in 2024 – and what are they looking for? This post dives into the data for several CBSAs with populations ranging from 500K to 2.5 million that have seen positive net domestic migration over the past several years – where population inflow outpaces outflow. Who is moving to these hubs, and what is drawing them?
The past few years have seen a shift in where people are moving. While major metropolitan areas like New York still attract newcomers, smaller cities, which offer a balance of affordability, livability, and career opportunities, are becoming attractive alternatives for those looking to relocate.
Between July 2020 and July 2024, for example, the Austin-Round Rock-Georgetown, TX CBSA, saw net domestic migration of 3.6% – not surprising, given the city of Austin’s ranking among U.S. News and World Report’s top places to live in 2024-5. Raleigh-Cary, NC, which also made the list, experienced net population inflow of 2.6%. And other metro areas, including Fayetteville-Springdale-Rogers, AR (3.3%), Des Moines-West Des Moines, IA (1.4%), Oklahoma City, OK (1.1%), and Madison, WI (0.6%) have seen more domestic relocators moving in than out over the past four years.
All of these CBSAs have also continued to see positive net migration over the past 12 months – highlighting their continued appeal into 2024.
What is driving domestic migration to these hubs? While these metropolitan areas span various regions of the country, they share a common characteristic: They all attract residents coming, on average, from CBSAs with younger and less affluent populations.
Between July 2020 and July 2024, for example, relocators to high-income Raleigh, NC – where the median household income (HHI) stands at $84K – tended to hail from CBSAs with a significantly lower weighted median HHI ($66.9K). Similarly, those moving to Austin, TX – where the median HHI is $85.4K – tended to come from regions with a median HHI of $69.9K. This pattern suggests that these cities offer newcomers an aspirational leap in both career and financial prospects.
Moreover, most of these CBSAs are drawing residents with a younger weighted median age than that of their existing residents, reinforcing their appeal as destinations for those still establishing and growing their careers. Des Moines and Oklahoma City, in particular, saw the largest gaps between the median age of newcomers and that of the existing population.
Career opportunities and affordable housing are major drivers of migration, and data from Niche’s Neighborhood Grades suggests that these CBSAs attract newcomers due to their strong performance in both areas. All of the analyzed CBSAs had better "Jobs" and "Housing" grades compared to the regions from which people migrated. For example, Austin, Texas received the highest "Jobs" rating with an A-, while most new arrivals came from areas where the "Jobs" grade was a B.
While the other analyzed CBSAs showed smaller improvements in job ratings, the combination of improvements in both “Jobs” and “Housing” make them appealing destinations for those seeking better economic opportunities and affordability.
Young professionals may be more open than ever to living in smaller metro areas, offering opportunities for cities like Austin and Raleigh to thrive. And the demographic analysis of newcomers to these CBSAs underscores their appeal to individuals seeking job opportunities and upward mobility.
Will these CBSAs continue to attract newcomers and cement their status as vibrant, opportunity-rich hubs for young professionals? And how will this new mix of population impact these growing markets?
Visit Placer.ai to keep up with the latest data-driven civic news.
With summer and back-to-school shopping in the rearview mirror, we dove into the data to check in with a major player on the retail scene – warehouse favorite Costco. How has the chain been faring this year, and what can Costco’s visitation patterns tell us about what lies ahead for it during the all-important fourth quarter of the year?
We dove into the data to find out.
Costco’s wholesale club model seems like it was tailor made for the 2024 consumer. Though prices aren’t rising as rapidly as they did last year, consumers remain eager to cut costs, embracing retailers that allow them to load up on essentials while indulging in affordable splurges that don’t break the bank. And Costco, which provides customers with steep discounts on everything from bulk cereals to patio furniture, is reaping the benefits.
Since January 2024, Costco has enjoyed consistently positive year-over-year (YoY) foot traffic growth, outpacing the wider Superstore and Wholesale Club category every month of 2024 so far. Even in January, when retail visits nationwide were severely dampened by unusually cold and stormy weather, Costco saw YoY visits increase by 5.2% – a remarkable accomplishment.
Why is Costco resonating so strongly with consumers this year? One factor may be the unique blend of mission-driven shopping and treasure hunting offered by the membership club. Costco is all about bulk buying – and when people head out to the wholesaler, they expect to come back with a massive haul of canned goods and pantry staples. But with oft-changing inventory and ubiquitous free samples, Costco also offers a fun shopping experience that encourages customers to try new items and make unexpected purchases as they cruise the aisles.
So it may come as no surprise that people spend much longer browsing the aisles at Costco than they do at other superstores and wholesale clubs. And while competitors like Target, Walmart, and BJ’s Wholesale have seen slight drops in their average dwell times over the past three years, Costco’s average dwell time has remained considerably longer – and remarkably steady.
Costco also drives visits by leaning into special calendar days. Unlike some other retailers, Costco closes its doors on most major holidays, including Memorial Day and Labor Day. But the chain still offers major discounts on the days leading up to and following these special days, driving heightened interest – and foot traffic.
Comparing visits on Tuesday, September 3rd – the day after Labor Day – to a year-to-date (YTD) daily average highlights the power of holiday sales, as well as pent-up demand following the store’s closure, to drive traffic to Costco. September 3rd was Costco’s second-busiest Tuesday of the year so far (up 23.8% compared to a YTD Tuesday average) – outpaced only by the pre-Independence Day July 2nd frenzy. May 28th, the day after Memorial Day, was also unusually busy at Costco, as customers rushed to take advantage of Memorial Day markdowns that lasted well into the following week.
In another sign of Costco’s robust positioning ahead of the all-important Black Friday and Christmas shopping season, visits to Costco on the Tuesday after Labor Day this year (Tuesday, September 3rd, 2024) were 6.1% higher this year than in 2023 (Tuesday, September 5th, 2023).
Costco’s visitation patterns showcase a brand that is positively thriving in 2024. And though it may be too soon to assess the impact of the membership chain’s recent fee hike, the warehouse chain appears poised to enjoy a robust November and December holiday season.
Follow our blog at Placer.ai to find out.
This blog includes data from Placer.ai Data Version 2.1, which introduces a new dynamic model that stabilizes daily fluctuations in the panel, improving accuracy and alignment with external ground truth sources.
Visits to the home improvement segment thrived during the pandemic, then slowed as high interest rates and rising prices led many consumers to defer big projects. But paint and coating giant Sherwin-Williams has displayed a special resilience, driving visits in what remains a challenging environment for the category.
With prime relocation season winding down, we dove into the foot traffic and audience segmentation data for the chain to uncover the trends that might be behind Sherwin-Williams’ recent success.
Paint and coating giant Sherwin-Williams Company is having a moment. After reporting stronger-than-expected earnings last quarter, the company raised its full-year outlook for 2024. And foot traffic to the company’s eponymous chain, where many of its products are sold exclusively, has been on an upswing.
Since the start of the year, Sherwin-Williams has seen consistently more robust visit growth than the wider home improvement segment compared to an August 2019 baseline – except in May 2024, when home improvement stores see their biggest annual visits spikes. In August 2024, visits to Sherwin-Williams were up 12.4% compared to an August 2019 baseline, while the broader category saw a minor decline of 2.1%.
According to a recent report by Sherwin-Williams management, the company has been outpacing the home improvement category in sales related to new residential projects. And with new home sales beginning to pick up steam, they could be playing a role in Sherwin-Williams’ recent visit surge.
Sherwin-Williams’ outsized August visit growth may also be due in part to its unique seasonal visit patterns. While home improvement chains usually enjoy a major spring foot traffic spike in May, as consumers take on fair-weather projects, Sherwin-Williams sees more prolonged visit boosts lasting throughout the spring and summer – and since 2023 has experienced pronounced upticks in May and August. As a paint store, Sherwin-Williams likely benefits from summer relocations – the period between mid-May and mid-September is the most popular time for moves in the U.S., which often require residences to be repainted.
Diving deeper into the segmentation of Sherwin-Williams’ customer base reveals another factor that could be behind the company’s recent success.
Analyzing Sherwin-Williams’ potential market with data from STI: PopStats shows that the chain is positioned to serve average-income consumers, with median household incomes (HHIs) just under the nationwide baseline of $76.1K. But though the median HHI of Sherwin-Williams’ potential market declined slightly over the past several years, the median HHI of its captured market has increased. (A chain’s potential market refers to its overall trade area, weighted to reflect the size of each Census Block Group (CBG) therein. A chain’s captured market, on the other hand, is obtained by weighting each CBG according to its share of visits to the chain in question, and thus reflects the characteristics of the chain’s actual visitor base.)
This indicates that Sherwin-Williams is doing an especially good job this year at driving traffic from areas within its markets that feature larger shares of higher-income residents – those likely to be moving into a new home or renovating.
Will Sherwin-Williams’ impressive foot traffic growth continue in the months ahead? If shelter inflation indeed eases, as some analysts suspect, more consumers may be inclined to repaint their homes or upgrade their living situation altogether – driving even more demand for the brand.
For updates and more retail foot traffic insights, visit Placer.ai.
This blog includes data from Placer.ai Data Version 2.1, which introduces a new dynamic model that stabilizes daily fluctuations in the panel, improving accuracy and alignment with external ground truth sources.
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1) Value Wins in 2025: Discount & Dollar Stores and Off-Price Apparel are outperforming as consumers prioritize value and the “treasure-hunt” experience.
2) Small Splurges Over Big Projects: Clothing and Home Furnishing traffic remains strong as shoppers favor accessible wardrobe updates and decor refreshes instead of major renovations.
3) Big-Ticket Weakness: Electronics and Home Improvement visits continue to lag, reflecting a continued deferment of larger purchases.
4) Bifurcation in Apparel: Visits to off-price and luxury segments are growing, while general apparel, athleisure, and department stores face ongoing pressures from consumer trade-downs.
5) Income Dynamics Shape Apparel: Higher-income shoppers sustain luxury and athleisure, while off-price is driving traffic from more lower-income consumers.
6) Beauty Normalizes but Stays Relevant: After a pandemic-driven surge, YoY declines likely indicate that beauty visits are stabilizing; shorter trips are giving way to longer visits as retailers deploy new tech and immersive experiences.
Economic headwinds, including tariffs and higher everyday costs, are limiting discretionary budgets and prompting consumers to make more selective choices about where they spend. But despite these pressures, foot traffic to several discretionary retail categories continues to thrive year-over-year (YoY).
Of the discretionary categories analyzed, fitness and apparel had the strongest year-over-year traffic trends – likely thanks to consumers finding perceived value in these segments.
Fitness and apparel (boosted by off-price) appeal to value-driven, experience seeking consumers – fitness thanks to its membership model of unlimited visits for an often low fee, and off-price with its discount prices and treasure-hunt dynamic. Both categories may also be riding a cultural wave tied to the growing use of GLP-1s, as more consumers pursue fitness goals and refresh their wardrobes to match changing lifestyles and sizes.
Big-ticket categories, including electronics, also faced significant challenges, as tighter consumer budgets hamper growth in the space. Traffic to home improvement retailers also generally declined, as lagging home sales and consumers putting off costly renovations likely contributed to the softness in the space.
But home furnishing visits pulled ahead in July and August 2025 – benefitting from strong performances at discount chains such as HomeGoods – suggesting that consumers are directing their home-oriented spending towards more accessible decor.
The beauty sector – typically a resilient "affordable luxury" category – also experienced declines in recent months. The slowdown can be partially attributed to stabilization following several years of intense growth, but it may also mean that consumers are simplifying their beauty routines or shifting their beauty buying online.
> Traffic to fitness and apparel chains – led by off-price – continued to grow YoY in 2025, as value and experiences continue to draw consumers.
> Consumers are shopping for accessible home decor upgrades to refresh their space rather than undertaking major renovations.
> Shoppers are holding off on big-ticket purchases, leading to YoY declines in the electronics and home improvement categories.
> Beauty has experienced softening traffic trends as the sector stabilizes following its recent years of hypergrowth as shoppers simplify routines and shift some of their spending online.
After two years of visit declines, the Home Furnishings category rebounded in 2025, with visits up 4.9% YoY between January and August. By contrast, Home Improvement continued its multi-year downward trend, though the pace of decline appears to have slowed.
So what’s fueling Home Furnishings’ resurgence while Home Improvement visits remain soft? Probably a combination of factors, including a more affluent shopper base and a product mix that includes a variety of lower-ticket items.
On the audience side, this category draws a much larger share of visits from suburban and urban areas, with a median household income well above that of home improvement shoppers. The differences are especially pronounced when analyzing the audience in their captured markets – indicating that the gap stems not just from store locations, but from meaningful differences in the types of consumers each category attracts.
Home improvement's larger share of rural visits is not accidental – home improvement leaders have been intentionally expanding into smaller markets for a while. But while betting on rural markets is likely to pay off down the line, home improvement may continue to face headwinds in the near future as its rural shopper base grapples with fewer discretionary dollars.
On the merchandise side, home improvement chains cater to larger renovations and higher-cost projects – and have likely been impacted by the slowdown in larger-ticket purchases which is also impacting the electronics space. Meanwhile, home furnishing chains carry a large assortment of lower-ticket items, including home decor, accessories, and tableware.
Consumers are still spending more time at home now than they were pre-COVID, and investing in comfortable living spaces is more important than ever. And although many high-income consumers are also tightening their belts, upgrading tableware or even a piece of furniture is still much cheaper than undertaking a renovation – which could explain the differences in traffic trends.
Traditional apparel, mid-tier department stores, and activewear chains all experienced similar levels of YoY traffic declines in 2025 YTD, as shown in the graph above. But analyzing traffic data from 2021 shows that each segment's dip is part of a trajectory unique to that segment.
Traffic to mid-tier department stores has been trending downward since 2021, a shift tied not only to macroeconomic headwinds but also to structural changes in the sector. The pandemic accelerated e-commerce adoption, hitting department stores particularly hard as consumers seeking one-stop shopping and broad assortments increasingly turned to the convenience of online channels.
Traffic to traditional apparel chains has also not fully recovered from the pandemic, but the segment did consistently outperform mid-tier department stores and luxury retailers between 2021 and 2024. But in H1 2025, the dynamic with luxury shifted, so that traffic trends at luxury apparel retailers are now stronger than at traditional apparel both YoY and compared to Q1 2019. This highlights the current bifurcation of consumer spending also in the apparel space, as luxury and off-price segments outperform mid-market chains.
In contrast, the activewear & athleisure category continues to outperform its pre-pandemic baseline, despite experiencing a slight YoY softening in 2025 as consumers tighten their budgets. The category has capitalized on post-lockdown lifestyle shifts, and comfort-driven wardrobes that blur the line between work, fitness, and leisure remain entrenched consumer staples several years on.
The two segments with the highest YoY growth – off-price and luxury – are at the two ends of the spectrum in terms of household income levels, highlighting the bifurcation that has characterized much of the retail space in 2025. And luxury and off-price are also benefiting from larger consumer trends that are boosting performance at both premium and value-focused retailers.
In-store traffic behavior reveals that these two segments enjoy the longest average dwell times in the apparel category, with an average visit to a luxury or off-price retailer lasting 39.2 and 41.3 minutes, respectively. This suggests that consumers are drawn to the experiential aspect of both segments – treasure hunting at off-price chains or indulging in a sense of prestige at a luxury retailer. Together, these patterns highlight that – despite appealing to different consumer groups – both ends of the market are thriving by offering shopping experiences that foster longer engagement.
> Off-price and luxury segments are outperforming, while general apparel, athleisure, and department store visits lag YoY under tariff pressures and consumer trade-downs.
> Looking over the longer term reveals that athleisure is still far ahead of its pre-pandemic baseline – even if YoY demand has softened.
> Luxury and off-price both are thriving by offering shopping experiences that foster longer engagement.
The beauty sector has long benefitted from the “lipstick effect” — the tendency for consumers to indulge in small luxuries even when discretionary spending is constrained. And while the beauty category’s softening in today’s cautious spending environment could suggest that this effect has weakened, a longer view of the data tells a more nuanced story.
Beauty visits grew significantly between 2021 and 2024, fueled by a confluence of factors including post-pandemic “revenge shopping,” demand for bolder looks as consumers returned to social life, and new store openings and retail partnerships. Against that backdrop, recent YoY traffic dips are likely a sign of stabilization rather than true declines. Social commerce, and minimalist skincare routines may be moderating in-store traffic, but shoppers are still engaged, even as they blend online and offline shopping or seek out lower-cost alternatives to maximize value.
Analysis of average visit duration for three leading beauty chains – Ulta Beauty, Bath & Body Works, and Sally Beauty Supply – highlights the shifting role but continued relevance of physical stores in the space.
Average visit duration decreased post-pandemic – likely due to more purposeful trips and increased online product discovery. But that trend began to reverse in H1 2025, signaling the changing role of physical stores. Enhanced tech for in-store product exploration and rich experiences may be helping drive deeper engagement, underscoring beauty retail’s staying power even in a more measured spending environment.
Bottom Line:
> Beauty’s slight YoY visit declines point to a period of normalization following a post-pandemic boom, while longer-term trends show the category remains stronger than pre-pandemic levels.
> Visits grew shorter post-pandemic, driven by more purposeful trips and increased online product discovery – but dwell time is now lengthening again, signaling renewed in-store engagement driven by tech-enabled discovery and immersive experiences.
Foot traffic data highlight major differences in the recent performance of various discretionary apparel categories. Off-price, fitness, and home furnishings are pulling ahead, well-positioned to keep capitalizing on shifting priorities. Luxury also remains resilient, likely thanks to its higher-income visitor base.
At the same time, beauty’s normalization and the slowdown in mid-tier apparel, electronics, and home improvement show that caution persists across discretionary budgets. Moving forward, retailers that align with consumers’ demand for value, accessible upgrades, and immersive experiences may be best placed to thrive in this era of selective spending.
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1) Broad-based growth: All four grocery formats grew year-over-year in Q2 2025, with traditional grocers posting their first rebound since early 2024.
2) Value grocers slow: After leading during the 2022–24 trade-down wave, value grocer growth has decelerated as that shift matures.
3) Fresh formats surge: Now the fastest-growing segment, fueled by affluent shoppers seeking health, wellness, and convenience.
4) Bifurcation widens: Growth concentrated at both the low-income (value) and high-income (fresh) ends, highlighting polarized spending.
5) Shopping missions diverge: Short trips are rising, supporting fresh formats, while traditional grocers retain loyal stock-up customers and value chains capture fill-in trips through private labels.
6) Traditional grocers adapt: H-E-B and Harris Teeter outperformed by tailoring strategies to their core geographies and demographics.Bifurcation of Consumer Spending Help Fresh Format Lead Grocery Growth
Grocery traffic across all four major categories – value grocers, fresh format, traditional grocery, ethnic grocers – was up year over year in Q2 2025 as shoppers continue to engage with a wide range of grocery formats. Traditional grocery posted its first YoY traffic increase since Q1 2024, while ethnic grocers maintained their steady pattern of modest but consistent gains.
Value grocers, which dominated growth through most of 2024 as shoppers prioritized affordability, continued to expand but have now ceded leadership to fresh-format grocers. Rising food costs between 2022 and 2024 drove many consumers to chains like Aldi and Lidl, but much of this “trade-down” movement has already occurred. Although price sensitivity still shapes consumer choices – keeping the value segment on an upward trajectory – its growth momentum has slowed, making it less of a driver for the overall sector.
Fresh-format grocers have now taken the lead, posting the strongest YoY traffic gains of any category in 2025. This segment, anchored by players like Sprouts, appeals to the highest-income households of the four categories, signaling a growing influence of affluent shoppers on the competitive grocery landscape. Despite accounting for just 7.0% of total grocery visits in H1 2025, the segment’s rapid gains point to a broader shift: premium brands emphasizing health and wellness are emerging as the primary engine of growth in the grocery sector.
The fact that value grocers and fresh-format grocers – segments with the lowest and highest median household incomes among their customer bases – are the two categories driving the most growth underscores how the bifurcation of consumer spending is playing out in the grocery space as well. On one end, price-sensitive shoppers continue to seek out affordable options, while on the other, affluent consumers are fueling demand for premium, health-oriented formats. This dual-track growth pattern highlights how widening economic divides are reshaping competitive dynamics in grocery retail.
1) Broad-based growth: All four grocery categories posted YoY traffic gains in Q2 2025.
2) Traditional grocery rebound: First YoY increase since Q1 2024.
3) Ethnic grocers: Continued steady but modest upward trend.
4) Value grocers: Still growing, but slowing after most trade-down activity already occurred (2022–24).
5) Fresh formats: Now the fastest-growing segment, driven by affluent shoppers and interest in health & wellness.
6) Market shift: Premium, health-oriented brands are becoming the new growth driver in grocery.
7) Bifurcation of spending: Growth at both value and fresh-format grocers highlights a polarization in consumer spending patterns that is reshaping grocery competition.
Over the past two years, short grocery trips (under 10 minutes) have grown far more quickly than longer visits. While they still make up less than one-quarter of all U.S. grocery trips, their steady expansion suggests this behavioral shift is here to stay and that its full impact on the industry has yet to be realized.
One format particularly aligned with this trend is the fresh-format grocer, where average dwell times are shorter than in other categories. Yet despite benefiting from the rise of convenience-driven shopping, fresh formats attract the smallest share of loyal visitors (4+ times per month). This indicates they are rarely used for a primary weekly shop. Instead, they capture supplemental trips from consumers looking for specific needs – unique items, high-quality produce, or a prepared meal – who also value the ability to get in and out quickly.
In contrast, leading traditional grocers like H-E-B and Kroger thrive on a classic supermarket model built around frequent, comprehensive shopping trips. With the highest share of loyal visitors (38.5% and 27.6% respectively), they command a reliable customer base coming for full grocery runs and taking time to fill their carts.
Value grocers follow a different, but equally effective playbook. Positioned as primary “fill-in” stores, they sit between traditional and fresh formats in both dwell time and visit frequency. Many rely on limited assortments and a heavy emphasis on private-label goods, encouraging shoppers to build larger baskets around basics and store brands. Still, the data suggests consumers reserve their main grocery hauls for traditional supermarkets with broader selections, while using value grocers to stretch budgets and stock up on essentials.
1) Short trips surge: Under-10-minute visits have grown fastest, signaling a lasting behavioral shift.
2) Fresh formats thrive on convenience: Small footprints, prepared foods, and specialty items align with quick missions.
3) Traditional grocers retain loyalty: Traditional grocers such as H-E-B and Kroger attract frequent, comprehensive stock-up trips.
4) Value grocers fill the middle ground: Limited assortments and private label drive larger baskets, but main hauls remain with traditional supermarkets.
5) Fresh formats as supplements: Fresh format grocers such as The Fresh Market capture quick, specialized trips rather than weekly shops.
While broad market trends favor value and fresh-format grocers, certain traditional grocers are proving that a tailored strategy is a powerful tool for success. In the first half of 2025, H-E-B and Harris Teeter significantly outperformed their category's modest 0.6% average year-over-year visit growth, posting impressive gains of 5.6% and 2.8%, respectively. Their success demonstrates that even in a polarizing environment, there is ample room for traditional formats to thrive by deeply understanding and catering to a specific target audience.
These two brands achieve their success with distinctly different, yet equally focused, demographic strategies. H-E-B, a Texas powerhouse, leans heavily into major metropolitan areas like Austin and San Antonio. This urban focus is clear, with 32.6% of its visitors coming from urban centers and their peripheries, far above the category average. Conversely, Harris Teeter has cultivated a strong following in suburban and satellite cities in the South Atlantic region, drawing a massive 78.3% of its traffic from these areas. This deliberate targeting shows that knowing your customer's geography and lifestyle remains a winning formula for growth.
1) Traditional grocers can still be competitive: H-E-B (+5.6% YoY) and Harris Teeter (+2.8% YoY) outpaced the category average of +0.6% in H1 2025.
2) H-E-B’s strategy: Strong urban focus, with 32.6% of traffic from major metro areas like Austin and San Antonio.
3) Harris Teeter’s strategy: Suburban and satellite city focus, with 78.3% of traffic from South Atlantic suburbs.
