In a December survey of consumers who had bought groceries online in the previous 90 days, 56% indicated that they are buying more frequently than last year, reports Chicory, a New York-based contextual commerce advertising platform operator, in its 2023 Online Grocery Shopping report.
In addition, approximately 40% of respondents said they order groceries online weekly and 30% do so monthly.
About 74% of the consumers cited convenience as a top driver of their decision to order groceries online. It was followed by price (37%), accessibility (35%), habit (24%), health concerns (22%), awards or loyalty program (20%), and preference for digital over the in-store experience (19%).
On the flip side, high fees were cited by 47% of respondents as the top challenge with ordering groceries online. Next were lack of control over product selection (43%), product availability issues (41%), high product prices (39%), concerns about products staying fresh or safe in transit (29%), long waits or delivery times (29%), and difficulty in using online or digital platforms (10%).
In determining which brands they would purchase online, 67% of respondents cited price as the major influencer. Next were deal, coupon, or sale (58%), brand familiarity (52%), availability (50%), flavor (35%), values or lifestyle (20%), promotion or advertisement (18%), and search results (11%).
“Price has been especially important this year as consumers have adjusted their behaviors to cope with inflation,” the report said, citing the 37% of respondents who agreed that online grocery shopping is less expensive than in-store purchasing. “During times of economic uncertainty, CPG brands and grocery retailers can rely on ecommerce.”
While 42% of online grocery shoppers indicated that they spend $51 to $100 per order, and 33% typically purchase between $101 and $200, the most frequent buyers are the 9% that spend more than $200 on grocery orders, the survey found.
In addition, 47% of the online shoppers purchase groceries for three to five persons, while 42% buy for one to two persons.
The report said that for the larger families, “online grocery shopping can save significant time and money. For individuals or couples, online grocery’s main appeal is likely that it saves them from having to make a trip to the store for a small number of items.”
Walmart, meanwhile, was most frequently cited as the preferred retailer for online grocery shopping. Next popular in a pool of 20 candidates were Amazon Fresh, Aldi, Kroger, Costco, Albertsons, Ahold Delhaize, Target, H-E-B, and Whole Foods.
Consumers also named food blogs, recipe sites, and social media platforms as their top sources of online meal inspiration, and approximately 51% indicated that they are likely or very likely to purchase directly from those channels.
“While online grocery adoption has slowed in recent years, activity is rising,” Yuni Sameshima, Chicory chief executive officer and co-founder, said in a statement. “Consumers are more comfortable than ever browsing for deals online, meal planning using digital recipes, and purchasing their full shopping lists in just a few clicks.”
