Table of Contents
Executive Summary
-
- Key takeaways
- The issues
- Most fresh food purchases still made in-store
-
- Figure 1: Major fresh categories online vs in-store, August 2019
- Saving time a primary motivation for buying fresh foods online
-
- Figure 2: Reasons for purchasing fresh foods online, August 2019
- Shoppers prefer in-store fresh food selection
-
- Figure 3: Reasons for not purchasing fresh foods online, August 2019
- The opportunities
- Raising expectations of fresh foods could help drive online shopping frequency
-
- Figure 4: Reasons for selecting most-often online retailer, by online grocery shopping frequency, August 2019
- Stress fresh-food quality standards to win with older shoppers
-
- Figure 5: Interest in fresh food online shopping concepts – Quality, by age, August 2019
- Appeal to younger shoppers with convenience and help
-
- Figure 6: Interest in fresh food online shopping concepts – Convenience and help, by age, August 2019
The Market – What You Need to Know
-
- Online grocery sales still small but growing fast
- Steady, modest growth for the perimeter amid increased competition
- Millennials take on more grocery shopping responsibility
Market Perspective
-
- Online grocery small compared to other categories but growing fast
-
- Figure 7: Total US online sales of groceries*, at current prices, 2014-19 (est)
- Online food and beverages have momentum and room to grow
-
- Figure 8: Total US online sales of groceries, by segment, at current prices, 2014-19 (est)
- Steady, modest growth for the perimeter amid increased competition
-
- Figure 9: Total US sales and fan chart forecast of perimeter-of-store foods, at current prices, 2014-22
Market Factors
-
- Broader ecommerce trends impact grocery sector
- Millennials take on more grocery shopping responsibility
- Households with children on the decline
- Most consumers report making an effort to eat healthy
-
- Figure 10: Approaches to healthy eating, May 2018
- Young adults far more likely to see barriers to healthy eating
-
- Figure 11: Barriers to healthy eating, by gender and age, May 2018
Key Players – What You Need to Know
-
- Developments along the last mile of home delivery
- A new model blends meal kits and grocery
- Leveraging content to drive online fresh food sales
What’s Happening?
-
- Fresh developments in home grocery delivery
- Amazon continues to push Prime members towards Whole Foods
- Instacart offers easy path to home delivery
- Autonomous vehicles keep moving
- A fresh food store on wheels
- Walmart’s in-home delivery expands
What to Watch
-
- Hungryroot offers a hybrid of meal kits and grocery
- Blending content and commerce for a more engaging online shopping experience
The Consumer – What You Need to Know
-
- Incidence of online grocery shopping on the rise
- Few fresh food purchases made online
- In spite of satisfaction with ordering online, shoppers still prefer store
- Saving time a primary motivation for buying fresh foods online
- Shoppers prefer to select fresh foods in-store
- Walmart tops Amazon in online fresh food purchase incidence
- Fresh food quality a potential key point of difference
- In-store preferred by far over online for fresh food shopping
- Online shoppers want to inspect fresh items before buying
- Generally positive perceptions among online fresh food purchasers
Grocery Shopping Method
-
- More grocery shoppers shop online at least occasionally
-
- Figure 12: Shopping method, August 2019
- Online grocery shopping age gap widens
-
- Figure 13: Shopping method, by age, August 2019
- Online grocery offers convenience to busy parents
-
- Figure 14: Shopping method, by parental status, August 2019
- Hispanic grocery shoppers visit a variety of channels, including online
-
- Figure 15: Shopping method, by race/Hispanic origin, August 2019
Major Fresh Categories – Online vs In-store
-
- Most fresh food purchases still made in-store
-
- Figure 16: Major fresh categories online vs in-store, August 2019
- Many frequent online grocery shoppers look to stores for fresh foods
-
- Figure 17: Major fresh categories online vs in-store – Fresh meat or poultry, by frequency of online grocery shopping, August 2019
- Figure 18: Major fresh categories online vs in-store – Fresh fish or seafood, by frequency of online grocery shopping, August 2019
-
- Figure 19: Major fresh categories online vs in-store – Fresh vegetables, by frequency of online grocery shopping, August 2019
Satisfaction with Shopping Online for Fresh Items
-
- Most online fresh food purchasers are satisfied, but still prefer store
-
- Figure 20: Satisfaction with shopping online for fresh items, August 2019
Reasons for Purchasing Fresh Foods Online
-
- Saving time a primary motivation for buying fresh foods online
-
- Figure 21: Reasons for purchasing fresh foods online, August 2019
- Quality fresh foods may motivate more online shopping
-
- Figure 22: Reasons for purchasing fresh foods online, by online grocery shopping frequency, August 2019
Reasons for Not Purchasing Fresh Foods Online
-
- Shoppers prefer in-store fresh food selection
-
- Figure 23: Reasons for not purchasing fresh foods online, August 2019
- Younger shoppers more open to letting the retailer do the selecting
-
- Figure 24: Reasons for not purchasing fresh foods online, by age, August 2019
Retailers for Online Fresh Food Purchase
-
- Walmart tops Amazon in online fresh food customers
-
- Figure 25: Retailers for online fresh food purchase, August 2019
- Young shoppers make online fresh purchases across a wider array of retailers
-
- Figure 26: Retailers for online fresh food purchase, by age, August 2019
Reasons for Selecting Most-often Online Retailer
-
- Online fresh food shoppers look first for convenience
- Opportunity to leverage fresh food quality as point of difference
-
- Figure 27: Reasons for selecting most-often online retailer, August 2019
- More frequent online shoppers have higher expectations of fresh foods
-
- Figure 28: Reasons for selecting most-often online retailer, by online grocery shopping frequency, August 2019
Preferred Fresh Shopping Method by Trip Type
-
- In-store preferred by far over online for fresh food shopping
-
- Figure 29: Preferred fresh shopping method by trip type, August 2019
- Light online shoppers still prefer in-store for fresh foods
-
- Figure 30: Preferred fresh shopping method by trip type among consumers who purchase most of their groceries in-store but some online, August 2019
- Heaviest online shoppers prefer online to in-store by small margin
-
- Figure 31: Preferred fresh shopping method by trip type among consumers who purchase half or more of their groceries online, August 2019
Interest in Fresh Food Online Shopping Concepts
-
- Online shoppers want to inspect fresh items before buying
- Convenience-oriented concepts also hold appeal
-
- Figure 32: Interest in fresh food online shopping concepts, August 2019
- Older shoppers concerned about quality as younger shoppers look for convenience
-
- Figure 33: Interest in fresh food online shopping concepts, by age, August 2019
- Frequent online shoppers less concerned about fresh food quality, selection
-
- Figure 34: Interest in fresh food online shopping concepts, by online grocery shopping frequency, August 2019
Attitudes toward Shopping for Fresh Foods Online
-
- Generally positive perceptions among online fresh food purchasers
- Lack of impulse online
-
- Figure 35: Attitudes toward shopping for fresh foods online, August 2019
- Younger shoppers are a challenge and opportunity for online retailers
-
- Figure 36: Attitudes toward shopping for fresh foods online, by age, August 2019
- Frequent online shoppers more satisfied with convenience and selection
-
- Figure 37: Attitudes toward shopping for fresh foods online, by online grocery shopping frequency, August 2019
Appendix – Data Sources and Abbreviations
-
- Data sources
- Consumer survey data
- Abbreviations and terms
- Abbreviations
- Terms
Back to top