Consumers Favor Grocery Meat As Restaurant Demand Softens

Consumers are showing stronger demand for meat at grocery stores as financial pressure weighs on restaurant spending.

grocery store prices_photo by Gorodenkoff via Adobe Stock_240749444.jpg

Photo by Gorodenkoff via Adobe Stock

MANHATTAN, Kan. (RFD News) — U.S. consumers showed stronger willingness to pay for meat at grocery stores in August while becoming more cautious about restaurant meals, signaling a widening split between at-home and food-service demand.

Kansas State University’s Meat Demand Monitor found willingness to pay increased for every retail product measured from July to August. Ground beef rose to $10.54 per pound, while ribeye steak increased to $19.54 and chicken breast to $10.03.

Food-service willingness to pay moved in the opposite direction across every dinner item. Hamburgers fell to $23.63 per meal, ribeye steak to $29.69, and chicken breast to $19.39.

Beef still held the largest combined projected market share, reaching 36% at retail and 46% in restaurants. Price also remained one of the most important factors consumers consider when buying protein.

Household finances may be influencing the divide. Only 18% said finances were better than a year earlier, while 37% said they were worse.

Farm-Level Takeaway: Beef demand remains strong, but financially pressured consumers appear more willing to spend at grocery stores than restaurants.
Tony St. James, RFD News Markets Specialist

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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