Online Grocery for the Next Normal
Almost overnight, digital grocery revenue went from only 4% of total to more than 15% and rising. The recent pandemic-related demand for online grocery ordering for pickup and delivery is likely to lead to long-term changes in both buying behavior and buyer’s digital expectations. Take a look at what’s now, what’s next, and how grocers can rapidly evolve their online buying experience to meet the demands of the next normal.
Now, in a space where digital commerce has rarely been a primary focus, there is a new urgency to elevate the online buying experience. Consumers expect a certain level of convenience and mobile functionality, and will purchase from whoever provides it.
Even before the pandemic drove a mass shift in grocery buying online, the Brick Meets Online Grocery Forecast report had projected a 10x growth trajectory for online grocery over the next several years. Now that we’re seeing observed evidence of a 2-3 year acceleration in the consumer adoption of digital in this space, that growth trajectory could easy be 15x, 20x or more.
Speaking of growth, Online Marketplaces, with their endless aisle selection and built-in supply networks, have had a starring role in recent events as panic and stock-up buying have strained even the most well-run ecommerce operations. We’ve seen some grocery marketplaces experience upwards of 300-400% increases in order volume, we’ve seen Amazon able to focus on essential items, allowing their enormous marketplace seller community to service customer’s other needs, and we’ve seen private Enterprise partnering with governments and health organizations to create key medical and frontline supply marketplaces, such as StopCovid19.fr.
The new race for online grocery has just begun, and even if some have had a bit of ahead start, there’s a long way to go. The leaders now may not be the leaders in the near future, so it’s important to seize the opportunity to innovate before a competitor takes your rightful place.
Adapting to the next normal starts now with bold action and a clear plan. And remember…evolution doesn’t always favor the biggest or strongest, it favors the most adaptable.
Download the Online Grocery for the New Normal Ebook now to learn more about the state of online grocery and what grocers can do to prepare for what’s next.