Loss Prevention Research Council Weekly Series - Episode79 - Grocery Tech Investments and Trends
With Dr. Read Hayes, Tony D'Onofrio, and Tom Meehan
Retailers dissect and deliver against online shopper desires this holiday season
https://www.digitalcommerce360.com/2021/10/26/the-shopper-speaks-retailers-dissect-and-deliver-against-online-shopper-desires-this-holiday-season/
From Digital Commerce 360 here are what shoppers are factoring as important when they chose which store to shop into for the holiday season.
What are the most important factors in choosing an online retailer when shopping for the holidays? The top 3 are free shipping (66%), competitive pricing (60%), and product in stock and ready to ship (53%).
How do you anticipate consumers’ online holidays shopping will change this year? Top 3 responses are buy more as they are able to travel and gather with friends and family (53%), BOPIS and/or curbside pickup orders will continue to increase since consumers became more comfortable with omnichannel features during the pandemic (52%), shoppers will find products out of stock more than in the past holiday season (42%).
53% of online shoppers believed the most important factor in choosing an online retailer was product that was in stock and ready to ship. The surveyed retailers anticipated that 42% of shoppers would find products out of stock more than in the past.
46% of shoppers surveyed cited speed of delivery as being important to their online shopping experience and 16% expect that same-day delivery will be part of their upcoming holiday experiences.
Digital Commerce 360 consumer research also suggests that more than half (52%) of online shoppers surveyed will make at least half of their holiday gift purchases on Amazon.
Grocery Tech Trends 2021 – Every Challenge Brings Opportunity
https://risnews.com/2021-grocery-tech-trends-study
From RIS News a great summary on the latest technology trends in the grocery industry.
54% of grocers are increasing their year over year technology spend with a focus on advancing digital and mobile capabilities, analytics driven decision making, personalized marketing, and click-and-collect.
The top three business challenges driving tech investment in the next 18 months are tight labor markets, price competition, and increasing margins / profits.
Looking ahead the greatest opportunities in 2022 are blockchain integration, higher margins, re-establish food service business, maintaining and affirming identiy, live inventory, private label grab & go items, and strategic transformation.
The greatest grocery challenges in 2022 are supply chain management, keeping morale high, labor and inventory shortages, maximizing sales with reduced store trips, redefining our role in the post pandemic world, and technology breakthroughs.
Top 3 current and planned analytics upgrades over the next two years in grocery are predictive analytics (51%), campaign optimization (42%, and prescriptive analytics (39%).
30% have medium to high interest in AI, 38% have same level of interest in machine learning, 21% have medium to high interest in RFID, 45% have similar interest in computer vision.
50% have deployed curbside pickup, 41% offer click & collect, and 38% offer home delivery. These are all omnichannel offers now provided by grocers.
74% of grocers report that the tight labor market is a major obstacle that will drive technology investments in the next 18 months.
Survey reveals five key consumer grocery trends
https://chainstoreage.com/survey-reveals-five-key-consumer-grocery-trends
From Chain Store Age, here are five key consumer trends.
Touching and seeing items are the biggest motivators for in-store grocery shopping.
- Seven in 10 respondents prefer to shop in-store for groceries. This is up 11% from 63% in an October 2020 Blue Yonder survey.
- Only 7% of respondents said they prefer to use grocery delivery services, down 50% from 14% in October 2020; while 21% prefer to buy online and pickup curbside or in-store, relatively flat (22%) from 2020.
Brand loyalty took a serious hit in 2021.
- More than three in 10 (31%) consumers say they switched their primary destination grocer in the past year. Of those that switched, 58% plan to stay with their new grocer for the next three months.
The labor shortage is impacting in-store assistance.
- Forty-six percent of respondents (46%) said that grocery store associates were less available during the pandemic.
- Of that respondent group, about four in 10 (39%) said this associate shortage impacted their ability to find an item or request assistance.
Consumers are planning for larger holiday gatherings.
- More than half (56%) of respondents plan to host and grocery shop for a holiday celebration (Thanksgiving, Friendsgiving, etc.) this year, a 19% increase from 47% in October 2020.
LPRC IMPACT Save the Date 10/3 – 5th! LPRC Kickoff is January 19th in NYC Bloomingdales HQ! In this week’s episode, our co-hosts discuss these topics and more, including the Live Sales and Social Media, Manufacturing Global Supply Chain Issues are Explained, Shopper Experiences are Analyzed, and 5 Trends for Grocery Shopping. Listen in to stay updated on hot topics in the industry and more!
