The UK grocery sector is increasingly dividing into two distinct shopper groups. A price-pressured majority are turning to discount formats, and a smaller but more affluent group are driving growth in premium supermarkets, according to new research from Pricer.

The study, based on a survey of 1,000 UK grocery shoppers, found that cost of living pressures are making price vigilance a mainstream behaviour across the market.

Nearly 78 per cent of shoppers say they are more price conscious than a year ago, while 74 per cent actively seek discounts and promotions. The research also revealed that 47 per cent have switched from their usual supermarket to a discounter, with the trend particularly pronounced among younger and lower-income consumers.

Discount shift led by younger shoppers

Discount reliance is accelerating across the price-pressured segment of the market, with younger shoppers leading the change.

More than half of Gen Z shoppers (56 per cent) say they have moved to discount grocers, while 36 per cent of all shoppers now buy mostly discounted products.

Trading down from branded goods to own-label products is also widespread. Overall, 56 per cent of shoppers say they have switched to supermarket own-label, rising to 72 per cent among the lowest income groups.

The research suggests that store switching is now routine behaviour for many households.

Around 63 per cent of shoppers now visit multiple grocery stores in order to secure the best prices, while 57 per cent split their shopping between traditional supermarkets and discounters.

Younger consumers are also adapting their shopping patterns to capture savings, with many reporting that they shop later in the day to access markdowns.

Premium growth driven by affluent households

While the majority of shoppers are trading down, the research highlights a contrasting trend among higher-income households.

Among shoppers earning £125,000 or more, 91 per cent say they are now shopping more frequently at premium or upmarket supermarkets.

These customers are significantly less driven by discounts but place far greater emphasis on quality, availability and product transparency.

Almost 45 per cent of high earners say they want sustainability and sourcing information displayed at the shelf, with demand rising even further among some upper-income groups.

Operational standards increasingly important

The research also found that affluent shoppers are more sensitive to operational issues in stores.

Higher-income consumers report greater frustration with stockouts and are more likely to abandon baskets when products are unavailable. They also place greater importance on consistency between online and in-store product information.

For these shoppers, digital tools are increasingly seen as a baseline expectation rather than an added feature, particularly when they improve transparency and speed at the point of purchase.

Shoppers favour practical retail technology

Across both segments of the market, technology adoption is largely driven by practical benefits rather than novelty.

The research found that shoppers are most receptive to technology that improves store execution.

The most requested improvement was technology that alerts staff when products are out of stock, cited by 46 per cent of respondents.

Meanwhile 53 per cent want richer product information at the shelf, and 52 per cent want real-time price comparisons, rising to more than 80 per cent among the highest-income shoppers.

The report suggests grocery retailers must now balance two competing priorities. Delivering consistent value for shoppers watching every pound, while also providing premium experiences built around quality, transparency, sustainability and digitally enabled stores.