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An article from
Dive Brief


SUPERMARKETS OUTSCORE AMAZON IN ONLINE GROCERY SATISFACTION POLL

Published May 11, 2023
Jeff Wells Lead Editor
 * 
 * 
 * 
 * 
 * 


The exterior of an Albertsons store. Courtesy of Albertsons


DIVE BRIEF:

 * Supermarkets outscored Amazon as well as mass merchandisers Walmart and
   Target in a recent online grocery satisfaction survey conducted by The
   Feedback Group.
 * Supermarkets scored 4.40 out of five points in overall satisfaction, while
   Amazon scored 4.30 and the mass merchants scored 4.26. Discount grocers,
   including Aldi and Lidl, scored a 4.11 while dollar stores scored the lowest
   at 3.90.
 * The results, which were based on a survey of 1,000 online food shoppers,
   indicate that the investments supermarkets have made in online shopping over
   the past several years are paying off, according to The Feedback Group. 





DIVE INSIGHT:

The pandemic spurred deep investments in e-commerce for supermarket operators,
which saw consumers flock to their aisles and online platforms to take advantage
of one-stop shopping. Those updates included everything from app enhancements to
SNAP payment expansions and new quick-delivery services.

Over the past few years, Kroger, the nation’s largest supermarket chain, has
rolled out an online loyalty program, a 30-minute delivery service with
Instacart and sushi and floral delivery on DoorDash and Uber Eats. It has also
established a branded delivery service powered by Ocado’s robotic fulfillment
warehouses to numerous markets.

Judging by The Feedback Group’s latest poll, investments like these have boosted
consumer satisfaction with online services even as fewer people shop online now
compared to a few years ago when the global health crisis took hold. 

However, those higher ratings may not be trickling down into higher online
sales, with reports showing mass merchandisers like Walmart are stealing market
share away from traditional grocers.

The Feedback Group found that nearly 90% of the consumers it surveyed were
pleased with the online grocery experience across all types of merchants. But
digging deeper, the organization found those shoppers are less than enthusiastic
about key elements of the experience.

Consumers scored their confidence in being able to find the products they need
when ordering a 3.84 out of five, while grocers’ personalization efforts rated
only slightly higher, at 3.88. Respondents also gave an average 3.99 rating when
asked if their preferred online grocer values them as a frequent customer.

The Feedback Group’s poll also found that online grocery is struggling to
connect with young consumers — indicating a need for further innovation as the
spending power of millennials and Gen Z increases. Millennials surveyed gave
their most recent online grocery experience an average 4.10 rating out of five,
while Gen Z respondents scored the experience at 3.95.

“These results should motivate grocers to keep innovating when it comes to their
online shopping experience,” Doug Madenberg, chief listening officer with The
Feedback Group, said in a statement. “Younger consumers – our future core
customers – are active on so many digital platforms, eCommerce and otherwise,
resulting in higher expectations than those of older shoppers.”

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Filed Under: E-commerce


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EDITORS’ PICKS

 * Courtesy of Jumbo
   
   
   AISLES ABROAD: DUTCH GROCER JUMBO EMBRACES A SLOWER CHECKOUT OPTION
   
   The supermarket chain’s “chat checkout” lanes, which have recently expanded
   to more than 100 stores, may resonate in U.S. grocery stores as retailers
   look to reach an aging population.
   
   By Catherine Douglas Moran • March 28, 2023
 * alexsl via Getty Images
   
   
   BUY NOW, PAY LATER EXPLODES IN GROCERY
   
   The percentage of online transactions involving groceries where shoppers
   opted to delay payment grew 40% during the first two months of 2023,
   according to data from Adobe.
   
   By Sam Silverstein • March 23, 2023


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Storewise, a Leading Retail & Grocer Automation Software Provider, Receives
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Editors’ picks
 * Courtesy of Jumbo
   
   
   AISLES ABROAD: DUTCH GROCER JUMBO EMBRACES A SLOWER CHECKOUT OPTION
   
   The supermarket chain’s “chat checkout” lanes, which have recently expanded
   to more than 100 stores, may resonate in U.S. grocery stores as retailers
   look to reach an aging population.
   
   By Catherine Douglas Moran • March 28, 2023
 * alexsl via Getty Images
   
   
   BUY NOW, PAY LATER EXPLODES IN GROCERY
   
   The percentage of online transactions involving groceries where shoppers
   opted to delay payment grew 40% during the first two months of 2023,
   according to data from Adobe.
   
   By Sam Silverstein • March 23, 2023

Latest in E-commerce
 * The Friday Checkout: How the end of SNAP emergency allotments is impacting
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 * The Fresh Market taps generative AI to boost video commerce
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