By Iris Yim and Brittany Chiu
As the multicultural population in North America continues to grow, so does the demand for diverse culinary experiences. Ethnic foods, particularly Asian cuisines, have transitioned from niche offerings to mainstream staples, reshaping the food industry and consumer habits. Retailers now have a unique opportunity to cater to this expanding market by offering robust ethnic food aisles that appeal to a wide range of consumer tastes. This growth is driven by evolving shopping habits, increased appreciation for global flavors, and a shift toward healthier, more authentic ingredients. However, successfully navigating this space requires an understanding of regional preferences, consumer behaviors, and strategic marketing efforts.
Key Takeaways
- Multicultural Consumers and Preferences: Retailers should develop ethnic food aisles to meet the growing demand for diverse cuisines, especially Asian foods. Tailoring offerings to regional preferences, with a focus on authenticity and bold flavors, is essential. Gen Z Asian consumers are leading this trend, though multicultural shoppers from all backgrounds are seeking ethnic options.
- Understanding Demographics and Shifting Consumer Demands: U.S. Census data reveals rapid growth in multicultural populations, particularly Asian, Hispanic, and Black American communities. This shift is driving demand for diverse food options, including ethnic and international cuisines. Retailers must adapt by offering a broader range of ethnic products, especially Asian foods.
- Social Media, Influencers, and Viral Trends: Food documentaries, cooking shows, and viral social media content have sparked interest in global cuisines. Platforms like TikTok and Instagram, with influencers promoting items like crispy chili crunch and Vietnamese coffee, are key drivers of these trends. Retailers can capitalize on these trends by partnering with influencers and curating ethnic food aisles that reflect current consumer interest.
- Cross-Promotions, Product Placement, and In-Store Experiences: Retailers can boost the appeal of ethnic foods through cross-promotions, chef collaborations, seasonal product placements, and in-store events. Cooking demonstrations can help consumers learn how to use ingredients like sriracha and boba pearls in everyday meals.
- Overcoming Perception Barriers: Retailers must address the perception that ethnic foods are too exotic or difficult to prepare. Educating consumers through in-store demonstrations, cooking classes, and recipe cards can help. Offering a mix of familiar and new products can appeal to both newcomers and seasoned enthusiasts.
Retail: Tapping into Cultural and Culinary Connections
A 2024 study by Credence Research reveals that the ethnic food market in the United States is experiencing substantial growth, driven by the expanding multicultural population and rising consumer demand for diverse culinary experiences. Valued at $12 billion in 2024, the North American ethnic food market is projected to reach $29.7 billion by 2034, with a compound annual growth rate (CAGR) of 9% over the next decade. Key drivers include the multicultural population and increased demand for authentic and healthier global flavors. This growth reflects a strong demand for cuisines such as Asian, Mexican, and Middle Eastern foods across supermarkets, grocery stores, and restaurants.
In particular, Asian cuisine is rapidly gaining traction in North American food culture, reflecting both the increasing diversity of the consumer base and the growing appreciation for global flavors. Asian food, once considered niche, has now become a cultural cornerstone, with Chinese, Japanese, Korean, Indian, Southeast Asian, and Filipino foods all experiencing significant surges in demand. Whether in metropolitan areas with high Asian populations or suburban regions where younger generations are exploring new culinary horizons, retailers can benefit by understanding and addressing these trends.
Pandemic-Driven Shifts in Grocery Shopping
The COVID-19 pandemic brought lasting changes to grocery shopping habits, many of which have reshaped consumer behavior. A 2022 study by The Filipino Channel and Sparkle Insights highlights that mass merchandisers such as Target, Walmart, Sam’s Club, and Costco have become dominant grocery destinations, outpacing chain grocery stores like Kroger, Trader Joe’s, and Ralphs. Over 80% of respondents now shop at mass merchandisers, drawn by convenience and expansive product selections.
These shifts are particularly pronounced among multicultural consumers. Approximately one-third of Hispanic, Black American, and Asian shoppers reported increased reliance on mass merchandisers during and after the pandemic—a significant contrast to Caucasian shoppers. However, Asian consumers remain loyal to ethnic grocery stores, ranking them as their third most preferred destination after mass merchandisers and chain grocery stores. This loyalty to ethnic grocery stores presents opportunities for retailers to tap into these preferences while expanding their reach through mass merchandisers.
The Rise of Online Shopping and the Influence of Social Media
The growth of online shopping has significantly contributed to the expansion of ethnic food aisles. As more consumers turn to e-commerce for their grocery needs, retailers are using online platforms to offer a broader range of ethnic foods. Marketplaces like Amazon and Walmart’s online grocery store provide access to products that may not be available in local stores, thus reaching a wider audience for ethnic food items.
Social media platforms such as TikTok and Instagram have become essential for generating interest in ethnic foods, particularly among younger generations. The rise of viral food trends and influencer-created content has brought global cuisines, especially Asian foods, to the forefront. Influencers and food creators often showcase unique Asian dishes or demonstrate how to incorporate Asian ingredients into everyday cooking. This has fueled viral food trends, such as the Korean spicy ramen challenge and DIY sushi kits. Retailers can take advantage of this by running targeted campaigns, collaborating with influencers, and promoting cultural events to introduce Asian cuisines to a broader consumer base.
Gen Z’s Appetite for Asian Foods
Gen Z consumers, known for their adventurous palates, are driving the demand for Asian foods. A 2024 study by the Hispanic Marketing Council and the Asian American Advertising Federation found that over 68% of Whites, Blacks, Hispanics, and Asians surveyed eat Asian foods, with 75% of Whites showing the most enthusiasm among non-Asian groups. Their preference for bold, authentic flavors makes items like spicy Korean ramen, sushi rolls, and dim sum increasingly popular in mainstream grocery stores. Subscription services like Bokksu and Mashibox, which deliver curated Asian snack boxes, also reflect this growing interest.
Retailers can tap into this trend by stocking ready-to-eat or ready-to-cook products such as ramen kits, frozen dumplings, or sushi platters. Collaborations with chefs and food creators to showcase how to use lesser-known ingredients or recipes could be an effective strategy to attract a broader audience.
Cross-Promotions and Collaborations with Chefs and Foodies
To boost the appeal of Asian foods, many retailers are leveraging cross-promotions and partnerships with chefs, food creators, and influencers. For instance, Trader Joe’s has partnered with renowned chefs to develop and promote Asian-inspired products. Collaborating with culinary influencers allows retailers to introduce trendy items like kimchi fries, Korean BBQ marinades, or Vietnamese pho kits, tapping into the social media buzz surrounding these dishes.
Retailers can also drive sales by cross-promoting products, such as pairing Asian sauces with meats, rice, or vegetables. This encourages consumers to try new dishes while easing the intimidation of unfamiliar ingredients. Social media and influencer-driven campaigns can help demystify these ingredients, showing how simple it is to incorporate them into everyday meals. Positioning ethnic foods as culinary adventures and promoting their variety will attract both new and experienced consumers.
It’s also important to highlight that ethnic food options are not only delicious and high-quality but also provide a refreshing alternative to traditional meals like pizza, pasta, or burgers. Position them as culinary adventures that bring excitement and variety to daily dining. Featuring bold-flavored products, such as crispy chili oils or fusion snacks, can capture consumer interest. In-store experiences, including cooking demonstrations or tasting events, can further engage shoppers and encourage them to experiment with new flavors.
Tailoring Offerings to Regional Demographics
Understanding local demographics is essential for retailers aiming to succeed in the ethnic food market. Asian communities have varied culinary preferences influenced by their cultural backgrounds. For example, Vancouver’s Chinese and Korean populations may prioritize authentic sauces and snacks, while San Francisco’s more diverse Asian demographic might favor Thai and Vietnamese products. Retailers in regions with smaller Asian populations can introduce these cuisines through curated selections designed to appeal to a wider audience. Health-conscious consumers, for instance, may gravitate toward plant-based or vegan-friendly Asian foods like tofu dishes, kimchi, or vegetable-based curries.
To cater to a broad range of shoppers, retailers must balance traditional ethnic products with newer trends. Incorporating health-conscious options such as low-sodium sauces or gluten-free versions can meet diverse dietary needs. Offering seasonal items tied to cultural holidays like Lunar New Year or Diwali can further enhance the appeal of ethnic food aisles. Stocking products that resonate with both ethnic communities and the general public requires careful segmentation and curation. Retailers can use localized demographic data, consult cultural experts, and gather customer feedback to ensure their offerings are relevant. Flexibility is crucial—supermarkets should rotate selections to reflect changing consumer preferences or seasonal/holiday events.
Building a Flavorful Future
Asian foods are no longer confined to ethnic aisles; they are becoming integral to mainstream retail. The same 2024 study found that over 60% of Whites, Blacks, Hispanics, and Asians surveyed said they eat fusion foods. Fusion-style items, such as ube-flavored pastries or Korean-inspired hot dogs, resonate with younger Asian Americans while also appealing to non-Asian consumers. From curated snack boxes to expanded offerings in major grocery chains, these products reflect the growing appreciation for diverse flavors and cultural connections. By tailoring product selections to regional demographics, embracing fusion trends, and engaging multicultural consumers through strategic marketing, social media, and influencer partnerships, retailers can position themselves at the forefront of this dynamic market.
Retailers that seize this opportunity will not only enhance their product offerings but also contribute to a greater cultural understanding and appreciation in the marketplace. The continued integration of Asian cuisines into North American food culture enriches the culinary landscape, and retailers who adapt will thrive in this increasingly diverse environment.