At a Future Connect conference held earlier this week, research findings were presented that showed grocery stores would lose about 11% of sales to online shopping in the next decade. There are however, those opposed to the figure.
Joe Crafton, CEO Crossmark, is not so willing to believe the findings of the research, saying that although retailers will be willing to attract customers with strategies such as ship-to-store when it comes to food purchases, most consumers would much rather do it in person. Although he agreed that some products would actually see an increase of their online sales, such as diapers through Diapers.com, he did not feel that food products would follow the same trend any time soon.
The Senior Vice President of Nielsen from the consumer and shopper insight department seconded Crafton. They believe there are some products, mainly food products that the consumer prefers to feel before purchasing. He also noted that shopping websites such as Amazon were not keen in dealing with food products.
He also however, acknowledged that the convenience of online food shopping would appeal to the elderly who prefer not to move around as much. In support of the e-grocery stores was John Miles, CTO at Catalina, who said that the online channels actually have real stores, unlike Amazon. This provides consumers with a number of options ranging from shopping on the channels, or shopping on their grocery’s website or even actually going to the store.
He also pointed out the fact that with the digital age, it is becoming increasingly important that grocers become more innovative to keep up with the rapidly changing trends. Or win customers with huge discounts. The research findings also included the fact that in eight years time there will be a saturation in the market by supercentres and that retail stores would occupy an additional 200 million square feet.
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