Higher-income consumers shift to Costco while inflation and gas prices drive broader grocery spending declines in 2026.
Costco and Walmart captured the largest shares of US grocery spending in June as inflation and economic concerns reshaped consumer behavior. A Food Industry Association survey of 1,516 shoppers found 71% cited inflation as a top worry, while 66% expressed concerns about the US economy, both reaching new highs this year.
Only 26% of respondents reported living comfortably and saving money, down from prior surveys. Gas prices emerged as a key pressure point, with 69% of shoppers now very or extremely concerned, up from 43% in December. Nearly half (49%) also cited job market fears as a factor in spending decisions.
Higher-income households favored Costco for most grocery purchases, while Walmart attracted broader consumer segments. The shift reflects ongoing budget constraints and a search for value amid persistent price pressures.