Driving with my family recently after a long trip away, we pondered what we would do for dinner. We spent the last several days eating restaurant meals and were craving a home cooked dinner. The problem was we were still hours away from home and too tired to stop and grocery shop. My wife suggested using online delivery from our local grocery store. I was skeptical. Would the fresh food sit out on our porch spoiling in the unseasonable Houston heat? She assured me that our retailer promised we could specify the delivery time. And so we placed the order while driving home.
An hour down the road we received a text from Kate, our personal shopper, who told us she was starting our order and asked for permission to text or call with any questions. This communication was followed with a text photo of apples to ensure they met our standards. The order delivered right after we arrived home. We were satisfied with the service and now about half of our grocery shopping has shifted online.
We are among the 52 million consumers who currently shop online and there will be many more of us in the coming months based on our recent The Virtual Grocery Store study. Like us, the majority of online grocery shoppers is satisfied with the experience and become repeat users.
Happy customers, the never-ending search for convenience, more delivery options, shipping deals, like Amazon Prime, the infinite assortment, and more aggressive online strategies being launched by major grocery retailers will drive the quick adoption of virtual grocery shopping. The tipping point will be here before you know it.
Watch, listen, and learn. Food and beverage manufacturers should monitor to ensure their products are part of the assortment where it matters. Grocery retailers should start developing e-commerce programs or to expand current services. Now is the time to act, while shoppers, like my family, are still experimenting and before virtual grocery shopping becomes an everyday reality.
The NGA Show
Presentation Title: Competing with Dollar Stores
Presenter: David Portalatin, Vice President, Food Industry Advisor
Date: Sunday, February 23, 2020: 3:00 PM - 3:25 PM
Location: San Diego Convention Center
Description: Dollar stores will continue to be a formidable competitor especially as they improve their commitment to fresh foods. We’ll review strengths, weakness and future competitive plans for this format and provide tactics to compete effectively.