Recent data and consumer surveys reveal that skyrocketing prices for essential goods are forcing Greek households to drastically scale back on spending. According to NielsenIQ’s annual “Shopper Trends” conference, while the volume of goods purchased has remained largely stagnant over the past two decades, average prices have surged by approximately 30%.
This inflationary pressure is largely attributed to persistent supply chain disruptions and energy-driven inflation fueled by the conflict in Ukraine and the ongoing Middle East crisis. Data from the Greek Statistical Authority (ELSTAT) indicates that food prices alone have climbed 22% since 2022, representing a staggering 38% increase compared to 2020 levels.
Food insecurity in Greece
Data from ELSTAT shows the extent of food insecurity in Greece and highlights the harsh reality many Greek households face amid the ongoing cost-of-living crisis, specifically detailing the number of people struggling to secure adequate, high-quality food. According to the ELSTAT survey:
- 7% of the population in Greece (up from 6.5% in the previous report) reported experiencing moderate or severe food insecurity.
- 1.6% (up from 1.4% previously) experienced severe insecurity, meaning there were times they completely went without food due to a lack of money or other resources.
Between 2019 and 2024, the rate of moderate or severe food insecurity in Greece fluctuated between 6% and 8%, while severe insecurity remained steady at around 1.5%.
In response, consumers are fundamentally altering their habits. Research by Circana, a leading American market research and data analytics company, shows a significant decline in spending on dining out, travel, clothing, and entertainment. Price sensitivity has now overtaken brand loyalty: 60% of shoppers prioritize discounted items, over 40% favor private-label brands, and a vast majority now engage in rigorous price comparisons prior to every purchase.
The Greek paradox
The paradox is that, as the Greek government boasts about Greece’s economic growth, Greek citizens remain at the “bottom of Europe” in terms of real purchasing power. Despite the ongoing economic recovery, Greeks are becoming poorer, according to the latest OECD data.
While the Greek economy’s upturn has slightly raised living standards compared to the EU average, this improvement is minimal. It has not lifted Greece from its position as the poorest country in the Eurozone, only ahead of Bulgaria.
It is worth noting that up until 2009, Greece’s GDP per capita was close to the EU average. However, since then, ten countries have surpassed Greece in living standards.