Supermarket chains compete for Thanksgiving spotlight with turkey dinner promotions and own-brand products

NEW YORK — ⁣As Thanksgiving ​approaches, major grocery retailers such as⁣ Walmart, Target, and Aldi are vying for a spot on your holiday‌ table. They’re offering​ tempting turkey dinner deals ⁣and other ⁣promotions to attract⁣ Americans still grappling with inflation.

Walmart, the⁢ country’s largest food retailer, pioneered ⁤the concept of ⁢bundling the traditional turkey feast into a meal deal a​ year before inflation hit the U.S. the hardest. This year,​ their 29-item⁣ offer, which includes a frozen turkey and ingredients for side​ dishes, is ⁢priced under $55. It’s designed to serve eight⁢ people, translating to less⁢ than‍ $7 per person.

Target’s version,⁤ designed for four people,‌ costs $20, $5 less ⁤than their 2023 Thanksgiving meal. It includes a⁣ frozen turkey, stuffing ‌mix,​ canned green beans, and canned jellied cranberry sauce.

Even⁣ in​ Utah, Maceys ‌is stepping up its game with ‍a Thanksgiving dinner bundle ​of its ⁢own,‍ the ‌grocer announced on⁢ Tuesday.

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Comparing these menus to determine the ‍best value can⁢ be challenging.⁤ However, ⁤these promotions highlight the significance of‍ Thanksgiving to⁢ grocers, ⁤according to industry analysts.

‘The new benchmark’

Jason⁢ Goldberg, Chief Commerce ⁢Strategy Officer at Publicis ‌Groupe, a global marketing and ​communications company, dubbed the⁢ Thanksgiving ​meal as “the new benchmark.”

Thanksgiving is the second-largest holiday meal occasion for retailers, following the winter holidays. According to market research firm Circana, Thanksgiving meal shopping boosted sales by⁣ $2.4 billion during the week before and after the holiday‍ last year.

Walmart launched⁢ its offer on Oct. 14, two ​weeks earlier than last year, ⁤and plans to make ⁤it available ​through Dec. 24. While the two bundles the retailer offered last year contained different items, Walmart said this year’s selected products cost 3.5% less.

Joan Driggs, Vice‍ President at Circana, expects​ shoppers to buy items on sale for half of what they need to prepare Thanksgiving dinner.‍ This⁤ is double the amount from⁣ 2022⁤ when retailers pulled back on promotions due⁢ to ‌limited supplies left over from the coronavirus pandemic.

Consumers⁤ still aren’t seeing discounts as deep⁢ as the ones in 2019, so retailers are creating⁣ strategies like‍ meal bundles. These ⁣may “lessen​ the stress” for shoppers since they show ‍the cost per person, she said.

Angel Rosario-Sanchez, 24, a New Jersey resident who was at a Walmart store⁣ in Secaucus on Wednesday,⁢ said he planned to ​have⁢ Thanksgiving with his friends but had not shopped ​for groceries‌ yet. Seeing the big‌ displays of Thanksgiving products in the store ​made him want to return ​to ‌buy ‍some, adding he can always count on Walmart ⁢for deals.

Purchase ‍or pass?

For the past two years, Walmart, Target ⁢and others have seen price-conscious shoppers shift more of their purchases ‌to ‍store ‍label brands. In ​response, retailers have improved their⁤ selections⁣ or created‌ new food lines’ brands, but store brands aren’t necessarily cheaper.

Wells⁢ Fargo’s ⁣Agri-Food Institute, a team of national industry advisers that provides economic insights and research, compared the costs⁤ of store ⁤brands and‌ national name brands ⁢for a typical Thanksgiving dinner.⁤ The name-brand versions of cranberry sauce were less expensive than⁣ the store brands, while the name brand pumpkin pies versus store⁢ brand versions were ⁤the same price.

The Agri-Food Institute’s 10-person Thanksgiving menu,⁣ which includes ⁣turkey, stuffing, salad, cranberries, dinner rolls and pumpkin pie, using all name-brand​ items, would cost $90 this year, ‌0.5% less than last year. ‍Preparing the ⁣same meal with store-branded food? That costs $73, or 2.7% more than a year‌ ago.

Robin Wenzel,‌ the head ​of the Wells Fargo institute, thinks the‍ makers of some familiar brands realized they ⁤”overshot” with some of their post-pandemic price increases and are retrenching, which means⁣ shoppers have the ​option ‍to‍ mix and match.

Walmart did⁣ just that, ⁢like many food retailers:⁢ Its​ meal⁣ deal includes Ocean Spray canned jellied cranberry sauce, green beans and​ dinner rolls from the in-house⁤ Great ‍Value line, with‍ a ‌white whole frozen turkey from ⁤the national brand Shady Brook‌ Farms, and ⁣fresh items like‍ a ‍5-pound bag⁤ of russet potatoes.

But ⁣here’s ⁣the bottom-line: The latest government ⁣snapshot ​on inflation showed grocery‌ prices rose just⁣ 0.1% from September to October⁤ and are up ​just 1.1% over the past year, leading retailers to slash prices. The cost​ of a 15-item Thanksgiving ‌meal is down nearly 3% from last year, as well, retail intelligence provider Datasembly said.

That’s providing some relief to consumers after food costs surged roughly 23% over‌ the past three years.

And some may not ‍feel it:‍ Datasembly reports Thanksgiving meals‌ overall cost ​42% more than in 2019. And​ prices⁢ for