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FMI study shows price-conscious consumers find good values in supermarkets but trust food safety less.

Price-conscious consumers are trying even harder this year to save money on groceries, and they are finding good values in their supermarkets. At the same time, their confidence in food safety has declined.

These findings were revealed here today at Food Marketing Institute's (FMI)

annual convention in a presentation on FMI's annual consumer trends survey.

The economy is foremost on shoppers' minds. Nearly half cite an economic issue as the most critical challenge for the United States, and unemployment outweighs all others.

Confidence in food safety dropped from a record high in 1991, when 82 percent of consumers were mostly or completely confident, to 72 percent early this year. FMI Senior Vice President Tim Hammonds noted that while there were no widespread food safety incidents this year, confidence may have been affected by a major report on seafood safety while the FMI survey was in the field.

Consumers' main focus, though, is on saving money. Almost all (97 percent) shoppers consider good, low prices important when they evaluate a supermarket, and three-quarters rate this very important, up from 71 percent in 1991.

Supermarkets receive higher ratings this year for providing attractive prices. More than seven in 10 shoppers (73 percent) give their supermarkets excellent or good ratings on this, up from 65 percent in 1991.

Economizing measures are popular this year. Price-off coupons head the list (61 percent), followed by doing more with leftovers (60 percent). The most change was in buying fewer convenience foods: 51 percent, versus 46 percent in 1991.

More consumers now stock up on bargains and compare prices at different supermarkets. And, despite club stores' claims of lower everyday prices, only one in 10 consumers regularly economizes by shopping at these alternative formats.

Store brands benefited from the consumer focus on value. Nearly two-thirds of shoppers (65 percent) consider store brands important, up 10 points over last year. About one-fifth of shoppers say they are buying more store brands this year, and about half buy these products at least once a week.

When asked how they've just begun to save, consumers most often mention eating out less. "If there is any silver lining in the recession cloud for supermarkets, this is it," said Hammonds. "As people substitute carry-out and convenience foods for restaurant meals, we have an opportunity to keep them as customers even after the recession fades."

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