“Consumers are seamlessly blending in-store and online experiences to meet their needs,” said Mark Baum, chief collaboration officer and senior vice president of industry relations for FMI. “Our research underscores the urgency for food retailers and manufacturers to adapt to this omnichannel reality and leverage digital technologies to enhance convenience, personalization and trust. Trading partners need to meet consumers where and how they want to be met.”
Kim Cox, managing director, Omnicommerce at NielsenIQ, said “Digital engagement is no longer a complementary strategy, it’s essential to growth. With online food sales projected to reach $388 billion by 2027, retailers and manufacturers must prioritize ecommerce and social commerce strategies to meet the expectations of digitally connected consumers.”
Other key findings of the report include:
- Online Sales Growth: Online sales growth exceeds that of in-store for food and nonfood categories, while in-store leads in total share.
- Youth Purchasing Power: Gen-Z begins its shopping journeys online and is heavily influenced by social media. Meanwhile, Millennials index highest for online purchasing.
- Social Media Ecommerce: Fifty-five percent of respondents now make direct purchases from social media or live-stream platforms for grocery and household items.
- Technology Prioritization: Ninety-two percent of retailers are using technology, including AI, to personalize or customize shopping or marketing experiences, both online and in-store.
- Curbside Pickup: Curbside pickup is used more often by shoppers at 31 percent of respondents, overtaking same-day home delivery, which has dropped to 29 percent.
