Category Archives: On-line food shopping

New Level of Customer Service Goes “Beyond” Home Delivery of Groceries

Walmart is expanding the online grocery shopping experience by going “beyond” home delivery. According to a recent SupermarketNews article, certain Walmart stores are delivering groceries not just to more homes, but also inside them.

This new service will be launching in the fall when associates will deliver groceries right to a customer’s refrigerator, or to other designated areas inside shoppers’ homes, such as garages or pantries. Various methods are incorporated into the process to ensure security and to allow customers to actually view the delivery from remote locations.

“Online grocery remains a meaningful contributor to e-commerce growth,” Walmart’s Chief Financial Officer Brett Biggs is quoted to say in the article. “Customers continue to really appreciate our grocery pickup and delivery offerings as we scale them across the U.S., …they want product faster than ever before, and Walmart is the best-positioned in the industry to deliver grocery same-day.”

E-Commerce Challenges for Supermarkets

A recent Wall Street Journal article reported that E-commerce is transforming the grocery business, “bringing-about the need to overhaul operations and invest heavily in technology and talent to keep customers from straying to Amazon.com Inc. ”

“Not since Walmart Inc. first pushed into groceries in the late 1980s have traditional chains faced so many challenges,” the article states.

As an example, Kroger, a long-term, consistently successful chain, stayed focused on store sales long after competitors were investing in online-ordering technology and delivery services. But, according to the article, company leadership has recognized they are behind and have crafted a plan for more rapid transition to keep up with consumer preferences.

The article goes on to note that few American retailers have managed the online transition smoothly, citing early struggles experienced by Target and Walmart before improving their e-commerce operations, and the demise of Sears Holdings Corporation and Toys “R” Us in 2018.

This perspective is consistent with that of our previous post, noting that, while still in growth mode, the on-line grocery shopping experience requires improvement. It will be interesting to see how Kroger and other traditional chains address the emerging demand for online shopping while still satisfying the more traditional demand for low prices as well as a “unique” in-store shopping experience.

Online Grocery Shopping Growing But Needs Improvement

The latest research from Valassis was referenced in a recent SupermarketNews article, noting two interesting discoveries about the online grocery shopping experience.

  1. 68% of online grocery shoppers say that using coupons and discounts to save money is the most important factor when shopping
  2. The online grocery shopping experience still has room for improvement

According to the study, 63% of consumers still make all or most of their food purchases in-store. But online shopping has increased year over year by 44% for food; 40% for health and beauty products; and 38% for household items.

Among the greatest opportunities for improvement:

  • 64% of online shoppers miss the sensory experience of touching and smelling produce
  • 62% find it frustrating when they can’t use coupons or discounts
  • 62% are uncomfortable having someone else pick out their produce or other perishable items

Read the full article…

More Groceries from Amazon in 2019?

According to a recent SupermarketNews article, it will be easier to order food, groceries and medications from Amazon.com as the new year unfolds.

The prediction is based on a report from e-commerce specialist Edge.

“2019 could be the start of when grocery finally hits for Amazon,” Edge said in its analysis. “The e-tail giant’s grocery sales swelled 45% in 2018, yet that was less than the nearly 60% growth in 2016-2017. Amazon’s top grocery categories by sales in 2018 were cold beverages ($600 million, +35% year over year), coffee ($600 million, +40%), snacks ($300 million, +50%) and breakfast foods ($250 million, +15%). “

While the article went on to say that Amazon in still a long-way off from where they’d like to be in the food and grocery sector, their expansion will involve the addition of more Whole Foods and Amazon Go stores.

Read the full article…

Walmart Setting the Pace for Online Grocery?

Our previous post indicated that Amazon was the clear leader in online grocery shopping. However, a recent SupermarketNews article said that “Walmart’s heavy investment in e-commerce is paying off, and the retail giant could top Amazon in online grocery market share by the end of this year.”

The data was based on a Deutsche Bank Securities report, which said Walmart  had been shifting focus and growth strategies in the direction of e-commerce, and that the chain has plans to bring online grocery delivery to 100 metropolitan areas — covering 40% of U.S. households — by the end of 2018 through its own services and third-party providers.

Read the full article…

Kroeger Introduces Kroger Ship

The trend toward on-line grocery shopping continues, as The Kroger Co. has introduced a new service that will compete directly with Amazon, Walmart and on-line grocery delivery providers like Instacart and Shipt according to a recent SupermarketNews article.

Kroger Ship, a direct-to-customer e-commerce platform that enables consumers to order from a selection of groceries on-line and have them delivered to their home is now being tested in four markets: Cincinnati; Houston; Louisville, Ky.; and Nashville, Tenn.

On-line shoppers can select from 4,500 Kroger own-brand products as well as more than 50,000 center store groceries and household essentials.

Home delivery via Kroger Ship is free for orders over $35 and costs $4.99 for smaller orders.

Read the full article…

Forbes Was Right: 4 Ways Your Grocery Store Might Change this Year

This past December Forbes published an article suggesting we should expect to see more changes at the grocery store this year as the industry adapts to various competitive pressures and emerging shopping habits.

“The last year has been a trying one for supermarkets that face not only changing technology and consumer demands but heightened competition on price,” the article said.

The article predicted four key trends for 2018, which were:

  1. More online shopping options
  2. Mobile payment acceptance
  3. Meal kits
  4. In-store drinking and dining

At the half-way-or-so point, it seems these predictions are on track. And clearly all four predictions focus on improving processes as well as customer service and the shopping experience!

Guess we can all stay-tuned to see if these trends continue…

 

Martin’s Supermarkets Expands On-line Shopping

According to a recent Business Briefs article, Martin’s Super Markets, a mid-west chain, is continuing to roll out of its online shopping service, which they call Groceries To Go, and which is now available at 12 of their 21 stores.

The Groceries-To-Go service costs $4.99 per order, the article explains. The process is also straightforward, as once users go online or download the app (on either iPhone or Android devices) and create an account they simply shop and choose a pickup time, and then pay. Someone at their chosen store then sends an email confirming receipt of the order, and then sends another email when the order is ready for pickup.

To pickup their order, customers simply park in designated areas and then text or call to announce their arrival. A “Personal Shopper” then brings the groceries and loads them into the customer’s vehicle.

Pharmacy prescriptions, alcohol and tobacco products are not available for online ordering, the article said. Log on to www.martinsgroceriestogo.com for more information.

The trend toward online shopping and an enhanced customer experience continues…

On-line Food Retail Continues to Gain Momentum

A recent SupermarketNews article reported that Target will begin offering same-day delivery to customers in three metro areas—Boston, Miami and Minneapolis—starting Feb. 1.

The move comes following the retailer’s December acquisition of Shipt, the article said.

The article went on to say that online retail is picking up speed at an even faster rate than previously thought, and that both Food Marketing Institute and Nielsen data suggest 70% of consumers will shop for groceries online by 2024.

The trend toward on-line shopping is a strong one for sure, but supermarkets by-and-large have significantly improved the level of customer service and the in-store shopping experience.

The question is, how can they combine the two “experiences” to build stronger levels of customer satisfaction and loyalty?

Read the full article…

Groceries Delivered & Put-Away in Your Home?

According to a recent posting on techcrunch.com, Walmart has announced that it will begin testing a new service that will allow customers with August smart home devices, like the August doorbell and security cameras, to have their packages and groceries delivered inside their home instead of left on the doorstep. Grocery orders won’t just be placed inside the house like the packages, but will be put away in the fridge and freezer, when appropriate.

The retailer says it will soon start this test in the Silicon Valley area with select customers who have opted into to try the new service.

Sounds like continuous process improvement and the trend toward innovative customer service continues!

Read the full story…