Actionable Strategies for SNAP Consumer Loyalty
The landscape for the Supplemental Nutrition Assistance Program (SNAP) is constantly evolving. For retailers and consumer packaged goods (CPG) companies, understanding this landscape is vital to maintaining loyalty among SNAP consumers.
Circana data shows that SNAP households make 29% more shopping trips and purchase 11% more items per trip compared to non-SNAP households. However, their total spending share across top-ranked categories has recently decreased, signaling a need for businesses to adapt.
By leveraging SNAP purchase data and responding to regulatory shifts, companies can tailor their approach to meet the specific needs of this crucial consumer group. Here are four key strategies to help your business navigate these changes and build lasting loyalty among SNAP consumers.
1. Assess Your Risk and Opportunity
To maintain and grow loyalty, you must first gauge the risks and opportunities associated with new SNAP regulations. This requires a thorough reassessment of your retail strategies, product pack sizes and promotional plans to ensure they still resonate with SNAP shoppers.
Start by analyzing how regulatory changes could impact your current product assortment and pricing. Understanding the specific needs and preferences of SNAP consumers allows you to tailor your offerings effectively, turning potential risks into opportunities for building long-term loyalty.
2. Focus on Complete Meal Solutions
A powerful strategy for maintaining loyalty is to provide meal solutions that help SNAP consumers feed their families affordably throughout the day. This goes beyond simply selling individual products. It involves creating value through convenience and budget-friendliness.
Use personalized messaging and promotions that center on complete, easy-to-prepare meal ideas. By offering practical and affordable options, you can connect with SNAP consumers on a deeper level, build trust and position your brand as a valuable partner in their daily lives.
Learn More at CGSM
Sally Lyons Wyatt is speaking at the Consumer Goods Sales & Marketing Tech Summit. The event will be held Oct. 28-29 in Chicago.
Lyons Wyatt will present trends and tips for a landscape defined by uncertainty, selective spending and shifting mealtime habits.
For more information, visit cgsmsummit.com.
3. Be Prepared for State-Level Waivers
Stay ready for states that may use waivers to restrict certain product categories. Being prepared allows you to proactively manage your promotions, communications and assortment in affected regions.
These restrictions can also create unique opportunities. Use them as a chance to innovate and co-promote non-restricted products. By highlighting items with unique functional benefits or creating compelling cross-category promotions, you can meet the needs of SNAP consumers and stand out from the competition.
4. Educate and Empower Consumers
In the absence of a federal nutrition education program (SNAP-Ed), retailers and CPGs have a unique opportunity to fill the gap. Taking on an educational role can build significant trust and loyalty with consumers who are looking for guidance.
Provide resources that help SNAP shoppers make informed decisions about nutritious foods, their benefits and how to prepare them. Consider offering simple recipes, cooking tips or nutrition information online or in-store. By positioning your business as a trusted source of support and information, you can foster a stronger, more loyal relationship with SNAP consumers.
Building long-term loyalty with SNAP consumers requires a proactive and informed approach. By staying close to regulatory changes and understanding the needs of this audience, your business can thrive. Implementing these four strategies — assessing risk, focusing on meal solutions, preparing for waivers and educating consumers — will help you navigate the evolving SNAP landscape and maintain strong, successful relationships with your customers.
About the Author
Sally Lyons Wyatt is the global executive vice president and chief advisor of consumer goods and foodservice insights at Circana, which advises nearly 7,000 of the world’s leading brands and retailers on the complexity of consumer behavior.
