Retailers in the U.S. this year are loudly promoting Thanksgiving meal bundles at historically low prices, projecting relief for households under inflationary pressure. Yet beneath the headline savings lies a careful recalibration of product mix, branding and item counts—raising important questions about how and why these deals work. A deeper dive reveals that while consumers may pay less, they aren’t getting the same breadth of traditional items they once did—and retailers are managing margins, preferences and supply chains through subtle shifts.
Bundled deals – big savings, smaller content
Major chains such as one of the country’s largest grocery chains announced a 2025 “one-click” Thanksgiving basket feeding ten people for under US$40—roughly $4 per person. The retailer highlighted savings of around 25% compared with last year’s equivalent offer, positioning the bundle as its best value yet. What makes that possible is not just lower prices, but fewer items: the 2025 version offers 22 items, down from 29 the previous year. The mix of brands has shifted markedly toward private-label goods, including nine in-house branded items versus national brands, compared to a lower percentage last year.
Discount grocers have followed suit: another chain’s Thanksgiving spread for ten is priced at $40, down from $47 last year. The number of items has been trimmed, some national brands swapped out for cheaper alternatives, and portion sizes or counts adjusted. In a separate retailer’s meal kit for four, the all-in price is under $20—translating to less than $5 per person—thanks to substitution of national brands for in-house equivalents.
On the surface, these offers appear to pass savings to consumers amid persistent food inflation—grocery prices rose 2.7% year-on-year in September, but retailers say many Thanksgiving-meal-relevant items are rising more slowly or even declining. The headline message of “cheaper Thanksgiving” resonates in a climate of consumer concern.
However, unpacking the mechanics reveals the twist: the savings are built on altered content, private-label substitution, fewer inputs and strategic margin management. The retailer’s basket may cost 25% less, yet it also delivers fewer items—and somewhat different ones—than the previous edition.
Strategic substitution, private-label push and supply-chain dynamics
One of the core drivers behind the savings is substitution: national-brand goods are increasingly replaced by private-label equivalents, which cost less and offer higher margins. For example, the national turkey brand remains, but many sides and packaged goods move in-house. Retailers emphasise that trade-down behaviour reflects consumer sentiment: recent survey data show more than half of shoppers are extremely concerned about food price inflation, and nearly a third say they will choose store brands over national names whenever possible.
Beyond branding, the number of items and their composition matter. On the largest retailer’s basket this year, items such as onions, celery and broth were omitted compared with last year, while multiple units of fewer sides (e.g., green beans, corn) were included. This allows a lower total cost while delivering appearance of abundance. The omission of lesser-noticed items (for example ingredients that go into preparations rather than visible dishes) helps trim costs without triggering consumer backlash.
Supply-chain pressures and agricultural cost spikes also play a role. Turkey wholesale prices, for instance, have climbed substantially in recent years, yet some retailers have locked in lower prices via bulk contracts or private-label arrangements, enabling them to offer lower advertised turkey pricing (e.g., under $1 per pound) even as the broader market faces cost pressures. For sides and packaged goods, private-label flexibility and retailer bargaining power enable deeper cuts.
The push toward private-label also supports retailers’ long-term aim of building brand loyalty, improving margin capture and controlling supply-chain quality and pricing. Seasonal bundles serve as a showcase for these brands when consumer budgets are tight—which is the case this holiday period.
Consumer behaviour, economic context and the broader holiday narrative
The timing of the offers aligns closely with consumer sentiment and macro-economic signals. Surveys indicate heavy concern among U.S. households over food inflation, with many expressing intent to economise and accept brand-trade downs. Consumer sentiment more broadly has weakened to a multi-year low, and delayed federal food-aid payments for low-income households are adding pressure on budgets. In this environment, retailers are keen to gain traffic and build goodwill via marquee holiday deals—thanksgiving being a key lead-in to the major retail season extending into Black Friday, Cyber Monday and Christmas.
From the consumer’s perspective, the marketed savings are real—but the value equation is subtly different than in past years. If shoppers opt into the bundled deals, they may accept fewer items or different brands in exchange for lower cost. For budget-sensitive households this may be entirely appropriate; for others, the trade-offs may be less transparent. Retailers bank on the fact that many shoppers focus on headline price per person rather than item-by-item substitution.
Additionally, the bundling strategy helps retailers secure sales early. Pre-packaged offers lock in consumer spending ahead of the holiday rush, reduce last-minute promotional pressure, and optimise inventory. For chains juggling elevated logistics costs, labour constraints and lingering supply-chain disruption, the bundle simplifies execution and reduces complexity.
Why the twist matters for retailer strategy and consumer outcomes
It is tempting to view the cheap-Thanksgiving offers as purely consumer-friendly. They are—but they also serve multiple strategic purposes. For retailers, the deals help drive store traffic, increase basket size, promote private-label lines, and lock in early holiday-season spend in a tight economic environment. With wages and household budgets squeezed, delivering a headline “feed ten for under $40” figure becomes a marketing weapon and brand-positioning moment.
Yet, from the consumer angle, value is real—but so are trade-offs. Fewer items, potential brand downgrades, and different portioning mean that the user experience of the meal may differ from tradition. Households expecting the same variety of sides, ingredient options and national-brand recognisable goods may find subtle shifts. These changes may go unnoticed by many, but for others looking for exact replication of last year’s spread, the bundle may feel less lavish even if cheaper.
In addition, the broader macro-context raises caveats. While the bundle costs less in many cases, that doesn’t necessarily mean the entire Thanksgiving grocery bill across all retailers and menus has fallen equally. Some less-standard items, specialty proteins or premium brands remain under pressure. And consumers who shop outside these bundled offers or mix in additional items may not realise the same level of savings.
Finally, the structural incentive is clear: retailers are guiding households into private-label adoption, aiming to convert short-term savings into long-term brand loyalty. If consumers enjoy the bundle and accept the substitutes, they may shift behaviour even after the holiday. The retailer’s choice to highlight the bundle with free pickup/delivery for new users, or link charitable giving at checkout, further emphasises the strategic positioning.
In short: yes, major U.S. retailers are delivering cheaper-looking Thanksgiving meals. But the “how” involves fewer items, brand substitutions and streamlined bundling. The “why” reflects a convergence of consumer inflation anxiety, retailer margin strategy and the holiday season’s critical place in the retail calendar. For consumers, understanding the trade-offs behind the headline savings is key to assessing whether the deal truly delivers what they expect.
(Source:www.reuters.com)
Bundled deals – big savings, smaller content
Major chains such as one of the country’s largest grocery chains announced a 2025 “one-click” Thanksgiving basket feeding ten people for under US$40—roughly $4 per person. The retailer highlighted savings of around 25% compared with last year’s equivalent offer, positioning the bundle as its best value yet. What makes that possible is not just lower prices, but fewer items: the 2025 version offers 22 items, down from 29 the previous year. The mix of brands has shifted markedly toward private-label goods, including nine in-house branded items versus national brands, compared to a lower percentage last year.
Discount grocers have followed suit: another chain’s Thanksgiving spread for ten is priced at $40, down from $47 last year. The number of items has been trimmed, some national brands swapped out for cheaper alternatives, and portion sizes or counts adjusted. In a separate retailer’s meal kit for four, the all-in price is under $20—translating to less than $5 per person—thanks to substitution of national brands for in-house equivalents.
On the surface, these offers appear to pass savings to consumers amid persistent food inflation—grocery prices rose 2.7% year-on-year in September, but retailers say many Thanksgiving-meal-relevant items are rising more slowly or even declining. The headline message of “cheaper Thanksgiving” resonates in a climate of consumer concern.
However, unpacking the mechanics reveals the twist: the savings are built on altered content, private-label substitution, fewer inputs and strategic margin management. The retailer’s basket may cost 25% less, yet it also delivers fewer items—and somewhat different ones—than the previous edition.
Strategic substitution, private-label push and supply-chain dynamics
One of the core drivers behind the savings is substitution: national-brand goods are increasingly replaced by private-label equivalents, which cost less and offer higher margins. For example, the national turkey brand remains, but many sides and packaged goods move in-house. Retailers emphasise that trade-down behaviour reflects consumer sentiment: recent survey data show more than half of shoppers are extremely concerned about food price inflation, and nearly a third say they will choose store brands over national names whenever possible.
Beyond branding, the number of items and their composition matter. On the largest retailer’s basket this year, items such as onions, celery and broth were omitted compared with last year, while multiple units of fewer sides (e.g., green beans, corn) were included. This allows a lower total cost while delivering appearance of abundance. The omission of lesser-noticed items (for example ingredients that go into preparations rather than visible dishes) helps trim costs without triggering consumer backlash.
Supply-chain pressures and agricultural cost spikes also play a role. Turkey wholesale prices, for instance, have climbed substantially in recent years, yet some retailers have locked in lower prices via bulk contracts or private-label arrangements, enabling them to offer lower advertised turkey pricing (e.g., under $1 per pound) even as the broader market faces cost pressures. For sides and packaged goods, private-label flexibility and retailer bargaining power enable deeper cuts.
The push toward private-label also supports retailers’ long-term aim of building brand loyalty, improving margin capture and controlling supply-chain quality and pricing. Seasonal bundles serve as a showcase for these brands when consumer budgets are tight—which is the case this holiday period.
Consumer behaviour, economic context and the broader holiday narrative
The timing of the offers aligns closely with consumer sentiment and macro-economic signals. Surveys indicate heavy concern among U.S. households over food inflation, with many expressing intent to economise and accept brand-trade downs. Consumer sentiment more broadly has weakened to a multi-year low, and delayed federal food-aid payments for low-income households are adding pressure on budgets. In this environment, retailers are keen to gain traffic and build goodwill via marquee holiday deals—thanksgiving being a key lead-in to the major retail season extending into Black Friday, Cyber Monday and Christmas.
From the consumer’s perspective, the marketed savings are real—but the value equation is subtly different than in past years. If shoppers opt into the bundled deals, they may accept fewer items or different brands in exchange for lower cost. For budget-sensitive households this may be entirely appropriate; for others, the trade-offs may be less transparent. Retailers bank on the fact that many shoppers focus on headline price per person rather than item-by-item substitution.
Additionally, the bundling strategy helps retailers secure sales early. Pre-packaged offers lock in consumer spending ahead of the holiday rush, reduce last-minute promotional pressure, and optimise inventory. For chains juggling elevated logistics costs, labour constraints and lingering supply-chain disruption, the bundle simplifies execution and reduces complexity.
Why the twist matters for retailer strategy and consumer outcomes
It is tempting to view the cheap-Thanksgiving offers as purely consumer-friendly. They are—but they also serve multiple strategic purposes. For retailers, the deals help drive store traffic, increase basket size, promote private-label lines, and lock in early holiday-season spend in a tight economic environment. With wages and household budgets squeezed, delivering a headline “feed ten for under $40” figure becomes a marketing weapon and brand-positioning moment.
Yet, from the consumer angle, value is real—but so are trade-offs. Fewer items, potential brand downgrades, and different portioning mean that the user experience of the meal may differ from tradition. Households expecting the same variety of sides, ingredient options and national-brand recognisable goods may find subtle shifts. These changes may go unnoticed by many, but for others looking for exact replication of last year’s spread, the bundle may feel less lavish even if cheaper.
In addition, the broader macro-context raises caveats. While the bundle costs less in many cases, that doesn’t necessarily mean the entire Thanksgiving grocery bill across all retailers and menus has fallen equally. Some less-standard items, specialty proteins or premium brands remain under pressure. And consumers who shop outside these bundled offers or mix in additional items may not realise the same level of savings.
Finally, the structural incentive is clear: retailers are guiding households into private-label adoption, aiming to convert short-term savings into long-term brand loyalty. If consumers enjoy the bundle and accept the substitutes, they may shift behaviour even after the holiday. The retailer’s choice to highlight the bundle with free pickup/delivery for new users, or link charitable giving at checkout, further emphasises the strategic positioning.
In short: yes, major U.S. retailers are delivering cheaper-looking Thanksgiving meals. But the “how” involves fewer items, brand substitutions and streamlined bundling. The “why” reflects a convergence of consumer inflation anxiety, retailer margin strategy and the holiday season’s critical place in the retail calendar. For consumers, understanding the trade-offs behind the headline savings is key to assessing whether the deal truly delivers what they expect.
(Source:www.reuters.com)
