ARLINGTON, Va. — Fresh foods are a driving force in grocery retail, accounting for 42% of total grocery sales in 2024, according to FMI’s State of Fresh Foods 2025 report.
In a post on FMI's Voices of the Food Industry Blog, FMI Vice President of Fresh Foods Rick Stein discusses the importance of fresh food.
“Fresh foods are more than a department; they’re a strategy. They drive customer loyalty, fuel workforce development and demand innovation at every turn. As shopper expectations continue to evolve, fresh will remain at the center of the story,” Stein wrote.
Thorvardur de Shong
Fresh Foods Total Grocery Sales
Departments such as meat and produce each generated 11% of store sales, underscoring their role in building shopper loyalty and influencing meal planning.
Operations Numbers Holding Strong
Operationally, shrink levels in fresh departments held steady year over year, even as center store categories saw increases. Workforce stability also improved, with department manager openings leveling off.
Fresh Food Departments Show Strong Performance
Foodservice was a standout performer, reaching $56 billion in sales in 2024, and nearly a third of retailers named it as their top labor expansion area for 2025. While bakery and seafood saw slight sales declines, FMI noted their continued strategic value in offering freshness, indulgence and differentiation.
Fresh Foods and Ecommerce
Fresh’s digital footprint is expanding, too, with 9.3% of fresh sales now occurring online, a 5.2% increase over the prior year, and 85% of assortments available for ecommerce.
