Report: Walmart and dollar store penetration surge as Americans seek grocery savings

An increasing number of grocery shoppers are heading to Walmart to stock their kitchens, says analytics firm Dunnhumby in its latest Consumer Trends Tracker report. The surge is fueled by Americans turning to big-box retailers and dollar stores amid mounting financial pressure.

The data shows that Walmart serves over 190 million shoppers in the US each month, increasing its grocery reach to 72 percent of the country in Q4 2025. Findings also show that, for the first time, Americans are grocery shopping at mass retailers at the same rate as they are at traditional supermarkets.

Since Dunnhumby’s tracker debuted in 2022, mass-channel store penetration has grown by five percent each year, highlighting a clear shift in where and how Americans choose to shop.

Dollar stores are also drawing crowds. In the latest survey, 42 percent of shoppers stopped by a dollar store, and grocery visits to Dollar General, Dollar Tree, and Family Dollar climbed four to six percent over the past year.

For the first time since August 2023, dollar stores have surpassed club stores, such as Costco, BJ’s, and Sam’s Club, in popularity.

In a release promoting the research, Matt O’Grady, Dunnhumby’s President for the Americas, said that the latest grocery results reflect US households' realignment of shopping based on affordability.

“What makes this different from the 2023 inflation spike is that consumer concern persists even as actual inflation moderates. The consumer is just not feeling it. Where they shop, how they use coupons, even how they adopt AI—everything aligns to saving money,” he says. “When financial insecurity becomes this entrenched, grocery affordability becomes paramount, and shopping behavior doesn’t just snap back.”

On the hunt for lower grocery prices

According to Dunnhumby, 70 percent of working-age Americans (ages 18 to 54) struggle to cover an unexpected $400 expense. The strain is greatest among lower-income households (71 percent for those earning under $50,000) and families with children (67 percent).

Nearly 40 percent of Americans ages 45 to 54 have reduced meal sizes or skipped meals due to financial hardship. One in three families with children reports the same. The South Central (34 percent) and West (32 percent) regions experience higher rates than the Northeast (22 percent).

Working-age adults experience food insecurity at more than four times the rate of seniors over 65.

Even middle- and upper-income Americans are affected. Among those surveyed, 48 percent earning $50,000 to $100,000 and 36 percent earning over $100,000 report financial insecurity.

Only seniors show relative stability, according to the report, with 30 percent of Americans over 65 having difficulty covering emergency expenses.

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