Hard to Stomach

1. Hard to Stomach The impact of rising food costs for Northern Ireland consumers www.consumercouncil.org.uk

2. Contents • Introduction • Background • Key findings • Conclusion www.consumercouncil.org.uk

3. Introduction www.consumercouncil.org.uk

4. What is the Hard to Stomach report about? The Hard to Stomach research looks at how increases in food prices are affecting Northern Ireland consumers, and what changes they have made in what they buy, cook and eat as a result. www.consumercouncil.org.uk

5. Methodology www.consumercouncil.org.uk

6. Face to face surveys 1,016 households throughout Northern Ireland were surveyed using a Consumer Council devised questionnaire to discover consumer’s thoughts, concerns and experiences regarding their food and grocery shopping. Food Shopping Diaries The Consumer Council designed a food shopping diary asking consumers to monitor their spending and shopping experiences over a one-week period. www.consumercouncil.org.uk

7. Focus groups These where held in Omagh, Belfast and Coleraine with a total of 9 or 10 consumers at each, chosen as demographically representative of the Northern Ireland population. Special interest focus groups were also held at SureStart centres on the Crumlin and Shankill Road, the South West Ageing Partnership Irvinestown, Age Sector Platform Belfast and Carers NI. This ensured the views of potentially vulnerable consumers were represented in the research. Online Survey To complement the household survey an online survey was hosted on the Consumer Council corporate website and had 127 responses. www.consumercouncil.org.uk

8. Food prices have risen by 32 per cent since 2007 Global factors such as crop failures and increased transportation costs have contributed to rising food costs Facts about food costs In 2012, the average household spent 11 per cent of their total expenditure on food, but this rises to 15 per cent for low income households. www.consumercouncil.org.uk

9. Activity • In Groups: • Can you think of why rising food costs are having worrying implications on our health? www.consumercouncil.org.uk

10. “I have always liked to buy fresh and cook my kids a balanced diet but with the price of meat and fresh veg it has become exceedingly hard and I find myself now buying processed chicken which I have to say is pretty nasty.” Male 30-40, Lisburn “Bought burgers instead of roast meat” Food Shopping Diary Respondent, 61-70, Omagh Consumers Opinions “Substituted sausages instead of steak pieces” Food Shopping Diary Respondent, 41-50, Newry www.consumercouncil.org.uk

11. Worried about Food prices www.consumercouncil.org.uk

12. Experience of price increases 96 per cent of households reported noticing an increase in food prices over the past 12 months. Its been a long time since I’ve come out with a trolley full of shopping. Last time would have been a year and a half ago. Parent at SureStart, Belfast Consumers opinions Its not a sudden jump, its been creeping up and up and up. It was a real shocker whenever I got to the till, you know, whenever your heart jumps up into your throat. Focus Group, Belfast www.consumercouncil.org.uk

13. Changes to shopping and eating www.consumercouncil.org.uk

14. Changes to shopping and eating • Instead of reducing their shopping or changing their eating habits, some consumers are cutting back in other ways such as; • Reduction in leisure activities, • Buying fewer clothes or • Putting the heating on less. www.consumercouncil.org.uk

15. Meal Planning and Cooking 28 per cent of consumers said they were planning meals more carefully to avoid waste. 12 per cent of consumers were buying less ready-made meals to save money. According to the Food Standards Agency only 19 per cent of consumers in Northern Ireland plan all or most of their meals for the week. Likewise, Northern Ireland consumers were less likely to report trying to make food last longer, checking cupboards and making a list before shopping. However Northern Ireland has become better (23 per cent) at using leftover food. www.consumercouncil.org.uk

16. “Since the start of the recession an additional 400 million homemade meals have been consumed.” Kantar World-Panel, May 2012 In a study conducted on behalf of Bord Bia (The Irish Food Board), it was noticed that there was a 16 per cent rise in consumers preparing a meal from scratch in 2011, compared to a year ago. www.consumercouncil.org.uk

17. Ability to eat well and healthy An unexpected and worrying issue to come out of this research has been consumers’ perception that it’s cheaper to buy foods considered to be less healthy (i.e. junk food/convenience food) than it is to buy a healthy, balanced diet. A study by the National Consumer Council (now Consumer Futures) showed that major supermarket chains had dramatically increased the number of in-store promotions featuring high fat, salt and sugar products. I would like you to look at the special offers available from your local supermarket and see how many of them are for fruit, veg, meat and essential/staple food products. Activity www.consumercouncil.org.uk

18. Special Offers and Discounts www.consumercouncil.org.uk

19. “Supermarkets and retailers don't seem to be discounting essential or staple food items that you would normally see in a household shopping basket” Female 24-29, Ballynahinch Reflect: Based on the previous activity where you gathered information about special offers in the supermarket, how far would you agree with this statement? www.consumercouncil.org.uk

20. Attitudes towards supermarkets www.consumercouncil.org.uk

21. Better Value Other consumers expressed doubts about whether some of the deals available were really offering better value. “Sometimes special offer bulk buys aren’t even cheaper than the single items.” Female 51-60, Saintfield “Supermarkets have a habit of promoting foods that if you buy two they’re meant to be cheaper but if you work it out they aren't really at all.” Female 41-50, Lisburn www.consumercouncil.org.uk

22. Ability to compare prices When shown these pictures cards less than half the consumers (48 per cent) surveyed thought it was easy to work out which offered the best deal. Task: Which of the two deals do you think is the best? www.consumercouncil.org.uk

23. Conclusion www.consumercouncil.org.uk

24. The Consumer Council will ensure that the Northern Ireland consumer voice is heard and taken into account and will use the findings from this research to influence retailers, food industry representatives, policy makers and government. The three big issues the Consumer Council would like to see addressed are: www.consumercouncil.org.uk

25. 1. Food Prices The Consumer Council will continue to monitor the impact of rising food prices and build this into our overall assessment of the cost of living for Northern Ireland consumers. www.consumercouncil.org.uk

26. 2. Pricing Policies and promotions • The Consumer Council will continue to engage with supermarkets, food retailers and food sector representatives operating in Northern Ireland to address issues in relation to: • Pricing strategies and promotions • Clear, consistent unit pricing; and • Font size and positioning of shelf price information. • The Consumer Council wants to see supermarkets operating in Northern Ireland sign up to the Price it Right campaign. www.consumercouncil.org.uk

27. 3. Balance of Special Offers The Consumer Council will work with colleagues at Food Standards Agency NI to engage with food retailers in addressing the balance of special offers; their positioning and promotion in stores and the extent to which healthy and less healthy (high in fat, salt, and/or sugar) offers are promoted respectively. www.consumercouncil.org.uk

28. Hard to Stomach The impact of rising food costs for Northern Ireland consumers www.consumercouncil.org.uk