Real price competition has arrived in online retailing for
groceries and other “small ticket” household items via mySupermarket.com. The
service is new to US shoppers, but it’s been operating in the UK since 2006 where
it reports 4 million monthly users and average basket sizes of around $130.
retail execution enough to succeed against competitors who are investing
in shopper data? The debate plays out in real time now that it looks like Jewel food stores in Chicago are discontinuing their loyalty program, but while
we're debating is important work going undone? We talk with Lynn
Olsen about the investments retailers need to be making to make data work for them.
Costco is bucking the self-service trend by removing self-checkouts from their stores. Long ago they decided their employees were important to their success, so leveraging this asset makes sense -- but the self-checkout trend will probably continue to expand with others.
Food retailers traditionally compare sales ratios and operating costs
with their competitors' numbers. In today's multi-channel environment,
comparing your shoppers' digital readiness and your ability to engage is
also important. This NGA/Brick Meets Click benchmark check-up on digital
shopper readiness and retailer engagement enables you to compare you and your shoppers' digital readiness with your peers.
Michagan-based Meijer’s “Next Great Toymaker” contest is a
great example of how retailers can do three things at the same time: create opportunities
for local businesses, bring exciting and different products to their customers,
and generate additional sales.
As connected customers
rebalance how they shop to tap into the benefits of ecommerce, retailers need
to rethink the store. This southern China supermarket design is – literally –
an outside the box solution.
The main reason Amazon’s same-day grocery
delivery hasn’t moved faster is the relatively low value per pound makes
it expensive to perform a function shoppers have typically taken care of. But that’s not stopping Amazon; they seem
primed to make a move soon.
Here’s a great overview of how food and drug retailers are
putting more resources and digital touchpoints into health services to differentiate themselves, draw
traffic, drive sales, and create loyalty.
Relay Foods has created a virtual food marketplace that is economically
viable on a per order basis, complete with network pick-up locations, great
customer retention, and a surplus of local suppliers clamoring to get into
their system. We talked with President and Co-Founder Arnie Katz about his
food experiences and how Relay is winning over shoppers.
The new mobile app Greentape takes another step forward in
integrating the online and in-store experience by combining customer reviews with
in-store geo-location technology. We think it will work best in stores where shoppers spend
a fair amount of time considering the purchase.
How can food retailers achieve growth? Finding new markets is one way. The new
Kings store in Gillette, NJ is a great example of this strategy in action. They’re
competing with restaurants on prepared food by offering shoppers a high-quality
culinary food experience with chef-prepared foods for 20 to 30% less than
The traditional supermarket is in for increased competition from
businesses that are testing a variety of delivery systems. What’s new is that many of the e-marketers
now make available items in addition to food. Some even assemble goods from
multiple merchants to be delivered in the same order. How can a traditional supermarket effectively compete?
retailers are increasingly turning to dieticians as a way to differentiate
themselves now that technology has made price transparency so accessible to
recent Ad Age article tracks the trend and the drivers behind it.
It’s useful to see an argument in support of category management since
some people have already concluded that being shopper-centric requires
moving away from the traditional product/category orientation in order
to organize around shoppers’ needs for CPGs. The “net” winners
of this debate will have a significant impact on how retail analysis of data creates
value for shoppers, retailers, and suppliers in the future.