The State of the Industry: The Omnichannel Grocery Shopper report, announced today by Grocery Doppio, presents findings from a study conducted jointly by Incisiv and FMI—The Food Industry Association in partnership with Wynshop. This collaborative research focuses on current trends among omnichannel grocery shoppers.
The report reveals an increasing preference for a hybrid approach amongst American grocery shoppers, with digital experiences playing an ever-growing role. Nearly three-in-four grocery customers now shop for groceries online at least part of the time. Omnichannel buyers spend 1.5x more every month than single-channel buyers, and are more than 3x more loyal than digital-only customers.
The Omnichannel Grocery Shopper report reflects interviews with more than 5,100 grocery shoppers and over 200 grocery executives, as well as data from other Grocery Doppio studies.
Key findings from the report include:
- Digital influence continues to grow, even for in-store buyers
—In these five categories of grocery, the majority of sales occur through digital channels: beverages (53%); pantry (73%); personal care (73%); household (76%) and pets (83%).
—Customers use digital tools even before entering a store, to make shopping lists (77%), confirm item availability (76%), and research an item’s location within the store (69%).
- Omnichannel shoppers spend more and churn less than single channel patrons
—Patrons who buy via multiple channels spend an average of $1,043/month—1.5x more than those who buy online only ($659) or in-store only ($669).
—Omnichannel buyers are more loyal than digital-only buyers: They churn, on average, after 4.2 bad experiences vs. just 1.3 for digital-only patrons.
- Loyalty is up for grabs, but grocers have to reduce friction
—Customers reported the experience that has the highest impact on their loyalty is how grocers handle inventory status and out of stock items (84%), followed by checkout (79%), and the pickup experience (77%).
“Grocers must improve their understanding of shopping missions,” said Gaurav Pant, chief insights officer of both Incisiv and Grocery Doppio. “Customers are using digital channels for convenience, but still value physical stores for sensory experiences and immediate purchase needs.”
“Our research finds parents are twice as likely as other consumers to shop online for groceries because of convenience,” said Steve Markenson, vice president of research & insights for FMI. “It’s important for food retailers and suppliers to keep convenience and relevance in mind when creating online and in-store shopping experiences. These elements are a big part of shoppers’ new value matrix.”