Canada’s grocery retail landscape is fiercely competitive and constantly evolving. While factors like location and competitive pricing play a key role in attracting traffic, they are not the sole considerations for today’s shoppers. Experience has emerged as a critical differentiator, with Home Meal Replacements (HMR), such as made-to-order meals and in-store dining, serving as a draw. In fact, three in five HMR consumers say they would specifically visit a grocery store for prepared or made-to-order meals, highlighting its growing importance.
Beyond the grocery sector, made-to-order meals are becoming a tool for retailers looking to attract customers in an increasingly omnichannel shopping environment, where online options are more accessible. This is where creating compelling in-store dining experiences can give retailers an edge in a crowded marketplace.
Additionally, younger adults and newer Canadians are emerging as key demographics driving demand for HMR. Having grown up in an era where quick-service and full-service restaurants are deeply ingrained in their lifestyles, younger generations tend to rely more heavily on convenient, prepared meal options. Offering innovative solutions in this space presents a substantial opportunity for retailers to attract and retain these consumers.
This report looks at the following areas:
- Trends in Home Meal Replacement (HMR) usage and frequency of consumption
- Meal occasions when HMR is most commonly used
- Key drivers behind HMR purchases and their associations with different meal types
- Foods typically chosen within the HMR category
- The role of HMR as a traffic driver, including the importance of online ordering, and perceptions of the on-premise experience
- Variations in HMR-related behaviours and attitudes by generation, parental status, living locations, and between newer and existing Canadians
- Insights on innovation and marketing strategies within the HMR space
Consumers’ demand for convenience has made HMR essential for grocers. A matured market highlights the importance of consumer-focused strategies for growth.
Joel Gregoire, Associate Director of Food & Drink Reports
Market Definitions
Mintel defines HMR as dishes or foods prepared/made-to-order by an employee, from stores where groceries are bought. Packaged items such as frozen pizza are not included in the definition.
The terms Home Meal Replacement (HMR) and prepared/made-to-order foods are used interchangeably throughout this Report.
‘Grocerants’ refers to dine-in or sit-down concepts that are part of a grocery store. ‘Grocerants’ can offer a full-service, restaurant-like ambiance with a comfortable dining room and/or wait staff.