72% of indie food retailers absent from e-commerce
This is a good-news story for you. Read on.
Buried in the Q4 2024 Walmart results is a surprising new record: almost 16% of Walmart grocery revenue was sold online.
Walmart is the just the latest proof that grocery shoppers of all types want delivery sometimes, they want to order online for pick up in store sometimes, and they actually buy stuff directly from email, text messages and social media.
So why are most independent food retailers absent from e-commerce?
Grocerist surveyed 2,000 independent food retailers- supermarkets, grocery stores, co-ops, gourmet markets- all companies with at least $2 million in annual sales. We found that 72% offer no online ordering and no delivery.
We asked the retailers why that is, and heard a combination of reasons that boil down to concerns about staff, tech skills, and profitability. Many rushed to launch online during the pandemic and had limited success. One merchant was particularly concise: "I'm scared".
Fear not independent food retailer!
-> Shoppers are much more likely to buy groceries online today, and they're less price sensitive online than they are in-store.
-> Unlike during the Covid era, outsourced delivery services are available almost everywhere, so you can offer delivery 24/7/365 from your own website and shoppers pay the cost.
-> Most retailers already do excellent Facebook promotion- imagine if all your social posts had a BUY NOW button that took shoppers into your website where they could pay on the spot.
-> The technology is so easy to use- for shopper, floor staff, and manager/owner.
-> The cost has come down dramatically, which allows retailers to start small and scale slowly over time.
Independent grocers must seize back the online portion of their own customer relationships, and
it's never been easier.
If it was possible to ignore these trends even 12 months ago, today independent food retailers need to act.
Those who do will reap the rewards.
Ask us about our e-commerce starter program with no fixed contract term.
