The latest Food Demand Survey conducted by Oklahoma State University’s Department of Agricultural Economics reported a willingness to pay more for steak and chicken but less for hamburger and pork products compared to last month.
Though modest, consumers indicated they were willing to dig a little deeper in their wallets for steak, with the price point reaching $8.02 per pound compared to $7.89 per pound in March. Hamburger, however, dropped to $4.46 per pound compared to $4.61 per pound last month. Last year at this time, consumers reported they were willing to pay $6.87 per pound for steak and $4.17 per pound for hamburger.
The willingness to pay indicators for pork chops and deli ham fell between 7 percent and 10 percent from March to April, with pork chops falling to $3.97 per pound (down 7 percent) and deli ham to $2.51 per pound (down 10 percent). Chicken breast and chicken wings were between 2 and 6 percent higher over the last 30 days. The willingness to pay for all meat products, however, are higher relative to this time last year.
Consumers reported spending virtually the same amount per week for groceries in April compared to March. However, they reported spending 4 percent more eating out.
Salmonella, E. coli and hormones were ranked as consumers' top three food-related concerns in April, while respondents said Salmonella, GMOs and E. coli were the most visible issues in the news over the past two weeks. Similar to previous months, taste, safety and price were consumers’ most important values when purchasing food.
According to the USDA Weekly Retail Beef Feature Activity report for the week April 10-16, 2015, there was a 22 percent increase in the number of retail outlets featuring beef. With Easter over and consumers eyeing summer barbecues, there was an emphasis on Chuck, Loin and Ground Beef features while Rib, Round and Brisket saw less feature space.
The complete Food Demand Survey is available to review here.