Daily Insights

The Grocery Revolution

By: Mackenzie Baker | Oct 23, 2019

Walmart is leading the grocery revolution. 

The well-known super-store is implementing a new addition to its grocery store delivery service that will allow workers to enter customer homes and stock the respective resident’s fridge themselves. This is in addition to Walmart’s services that already allow shoppers to order groceries through an app and have it dropped off at their doorstep. Though Walmart’s rival Amazon has a similar process, its in-home delivery has not proven incredibly popular. Other retailers like Kroger and Target have created e-commerce lines that let customers order groceries to be delivered too, though Kroger currently only allows for the delivery of non-perishable goods. Across the industry, grocers have been turning to social media to promote delivery services, with 90% of companies utilizing Instagram stories to promote their brands, according to a Gartner L2 report on the topic. 

Though grocery store sales are rising, the disinflation of food prices could hinder that growth. To further sales and promote convenience to customers, grocers have taken to endorsing a “click-and-collect” method whereby customers can order online and pick up in store. This process still utilizes the digital side of the grocery business, while saving the industry the cost of added delivery employees. Walmart has found success with this method since consumers prefer to not have to pay for delivery costs. Customers spending a large amount could qualify for free delivery from many grocers, but for younger shoppers wanting to buy groceries in small increments, this is not a surefire selling point. 

The grocery business has been stable for decades, but with modernization and digitalization, the industry is finding new ways to feed consumers’ needs. 

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