Shoppers are still spending on expensive dairy products amid inflation

Don’t freak out, but two years ago you ate 6.8 pounds of butter. Not all in one sitting, but still. Americans consumed a record amount of butter (and a ton of other dairy products) in 2024, according to the most recent data from the USDA. And dairy analysts only expect that number to keep growing. One of the creamy culprits driving this demand? Luxury butter.From grocery store brands like Kerrygold to $60-per-pound Vermont farm butter, expensive butter is something shoppers have been splurging on in the last few years while opting for cheaper options in other categories. The trend can be chalked up to a few things:Americans’ high-priced dairy tastes may stem from their pandemic-era baking obsessions.A move away from ultra-processed ingredients like margarine.With grocery item costs up everywhere, even $10 butter feels like a reasonable little treat.Whatever happened to a nice T-shirt? American tourists are also snapping up French butter on vacation. Parisian Retailer La Grande Épicerie, a popular tourist destination, said it sold 19 tons of butter last year, a 300% jump from 2023.Other ritzy dairy products are taking off. It’s never been a better time to be a purveyor of $15 pints of ice cream. Frozen yogurt is also in its third wave, costing up to $30 and creating hourslong lines.—MM