ArturVerkhovetskiy / Depositphotos.com
EDMONTON — Alberta recorded the highest average grocery basket among Canada’s largest provinces as food affordability continues to put pressure on household budgets, according to a new report from financial technology company KOHO.
The company’s Grocery Gap Report found the average grocery basket in Alberta reached $50.16, about 18 per cent higher than Ontario’s average of $42.65 and 12 per cent higher than the $44.65 average recorded in British Columbia.
KOHO describes itself as a Canadian financial technology company focused on providing Canadians with alternatives to traditional financial services, including spending, saving and credit products without hidden fees.
The report is based on spending and financial behaviour data from more than 173,000 Canadians, including 28,354 grocery-active KOHO members in Alberta.
Nationally, average grocery spending per user increased about five per cent compared with the previous year.
The size of the average grocery basket increased 2.4 per cent, while the frequency of grocery shopping trips rose 2.9 per cent.
The report also found more Canadians are changing where they shop and how they pay for groceries as affordability pressures continue.
Visits to discount grocery stores increased 4.1 per cent year over year.
Use of KOHO’s Pay Later service for grocery purchases increased 109 per cent, making it the only financial product offered by the company to record what KOHO described as meaningful adoption growth.
The increase suggests more consumers using the platform are turning to flexible payment options to manage everyday food expenses.
Despite continued concerns about affordability, spending on food delivery services increased nine per cent.
Younger Canadians experienced the fastest increase in grocery costs.
The report found grocery basket sizes among Canadians aged 18 to 24 increased 5.4 per cent, the largest increase among the age groups studied.
KOHO says its findings show Canadians are adjusting their shopping habits and increasingly using alternative payment options as grocery costs continue to rise.
The report also suggests Alberta consumers face higher grocery bills than residents of other large provinces, with the average basket costing $7.51 more than in Ontario and $5.51 more than in British Columbia.
Comments