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Store Formats, Market Structure, and Consumers’ Food Shopping Decisions
Author(s) -
Volpe Richard,
Jaenicke Edward C,
Chenarides Lauren
Publication year - 2018
Publication title -
applied economic perspectives and policy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.4
H-Index - 49
eISSN - 2040-5804
pISSN - 2040-5790
DOI - 10.1093/aepp/ppx033
Subject(s) - business , food and drug administration , grocery store , marketing , advertising , healthy food , food market , set (abstract data type) , food products , food science , computer science , ecology , risk analysis (engineering) , biology , agriculture , chemistry , programming language
A growing literature in health and nutrition suggests that healthy foods are less available and more expensive at nontraditional store formats such as supercenters, convenience stores, and drug stores. We use Nielsen Homescan data to investigate the relationship between store format and the healthfulness of consumers’ grocery shopping. Accounting for a rich set of controls, as well as food retail market structure, we simultaneously estimate the healthfulness of consumers’ food purchases and the shares of food expenditure at traditional and nontraditional store formations. We find that healthier food choices are generally associated with higher food expenditure shares at supermarkets and supercenters and lower shares at drug stores and convenience stores. In addition, market concentration has a negative effect on shopping healthfulness.