The net share of meals procuring within the UK was 5.4% in February 2020 in accordance with the ONS. By February 2021, this had risen to 14.7%. Nevertheless, as soon as restrictions have been eased and vaccines have been rolled out extra broadly, on-line progress declined as grocery procuring habits shifted again to brick-and-mortar.

This stats roundup contains figures that assist for instance the short progress in on-line grocery within the UK and US over the course of the pandemic, the following dip in 2021, and the lasting adjustments which are being seen within the sector.

13.4% of US grocery procuring was digital in December, with cell edging out over desktop

A December 2021 survey of three,300 US shoppers, performed by PYMNTS, discovered that grocery procuring over the vacation interval was nonetheless overwhelmingly carried out in-store, with 86.6% of shoppers shopping for groceries in bodily shops in contrast with 13.4% shopping for them on-line. In contrast, US shoppers have been 2.5 occasions as more likely to make different forms of retail purchases (excluding vehicles and petrol) on-line, with 33.1% of US shoppers making different retail purchases on-line in December, and 66.9% shopping for them in-store.

When on-line gross sales have been cut up up by machine, a better share of grocery gross sales have been revealed to have been made on a cell machine than on a laptop computer or desktop – by a really small margin: 6.7% of grocery gross sales have been made on-line on a cell machine, in contrast with 5.9% on a laptop computer or desktop laptop. In contrast, total retail gross sales have been nonetheless weighted in direction of desktop, with 13.4% of gross sales being made on-line via a cell machine, and 18.5% being made on-line utilizing a laptop computer or desktop laptop.

Costco ecommerce gross sales climb 14.3% in Q1 2022 buying and selling replace

US wholesale retailer Costco has reported wholesome gross sales for the primary fiscal quarter of 2022, with total comparable gross sales rising 15% year-over-year, and ecommerce gross sales climbing 14.3%. High-performing departments in ecommerce reportedly included jewelry, tyres and residential furnishings.

Moreover, Costco Logistics, Costco’s bulk-size product on-line gross sales arm, noticed a 50% soar in deliveries throughout the identical quarter, and now represents 70% of all Costco US ecommerce big- and bulk-product shipments. The retailer has additionally expanded its Costco Subsequent ecommerce programme, which permits members to purchase objects at “Costco worth” immediately from a curated choice of distributors. The programme has been in place since 2017, however was lately expanded to embody 34 manufacturers in complete.

Chief Monetary Officer Richard Galanti informed analysts in a convention name that Costco was persevering with to develop its on-line expertise. “We proceed to enhance our ecomm cell app with extra options,” he mentioned. “We’ve redesigned the app header and footer. We’ve up to date and improved the menu format. Our members now have the flexibility to view warehouse receipts on-line by way of each the app and desktop. Our co-branded Citi Visa card can now be linked to the Digital Membership Card and used for fee.”

As well as, “Members at the moment are in a position to way more simply reschedule ecomm deliveries within the U.S. and Canada. The identical goes for rescheduling returns, with returns pickups.”

Costco can be bettering the ecommerce facilities in its warehouses with the rollout of latest ecommerce kiosks that supply “simple touchscreen ordering”, and can be rolling out ecommerce lockers. Galanti informed analysts that the retailer plans to greater than double its 112 locker places throughout the US in the course of the calendar 12 months 2022.

91% of UK city-dwellers have but to make use of a fast grocery supply app

‘Q-commerce’, the identify given to the burgeoning suite of retail companies – sometimes grocery retail companies – promising supply in a matter of minutes has loved a substantial quantity of promoting buzz and trade dialogue over the previous 12 months. But a survey of 1,000 UK city-dwellers carried out by InMobi discovered {that a} comparatively small share of shoppers report utilizing them to date: simply 9%.

The report, which surveyed shoppers dwelling in three of the UK’s main cities – London, Manchester and Birmingham – the place fast grocery supply apps are widespread, discovered that consciousness of the apps was excessive amongst shoppers, with 68% reporting that they’d heard of them, and 32% reporting that they’d not. Recognition of particular manufacturers seems low, nevertheless: when quizzed on their consciousness of a variety of fast grocery apps, 59% of shoppers mentioned that they’d not heard of any of them; Getir loved the best stage of consciousness at 10%, whereas 9% of shoppers have been conscious of Jiffy.

The group of shoppers really utilizing fast grocery apps was a comparatively small pattern measurement, however some demographic developments may very well be recognized: InMobi discovered that (considerably unsurprisingly) utilization was highest among the many 18-24 age group, with 16% saying they have been customers of fast grocery apps; subsequent got here the 25-34 age group at 14%. Apparently, utilization was extra prevalent among the many 45-54 age group (10%) than among the many 35-44 age group (7%).

When requested what kind of procuring journey the apps may supplant, 35% of app customers mentioned they may see it changing their “fast journey to nook retailers”, whereas 29% might think about it changing the weekly journey to a bigger grocery store. An additional 20% believed it will substitute their on-line grocery store at a serious retail model corresponding to Ocado, Amazon, or Tesco.

In hopeful information for grocery store incumbents, nevertheless, the survey discovered that almost all (75%) of fast grocery app customers would go for established grocery store manufacturers over newer supply apps – in the event that they supplied assured 10-minute grocery deliveries. This is likely to be a tall order for supermarkets not having fun with giant influxes of funding funding to offset the losses of last-mile grocery supply, however some are prepared to trial the prospect: Tesco lately partnered with Gorillas to trial 10-minute fast supply from its supermarkets, within the first partnership of its form.

US on-line grocery gross sales in November 2021 up 6% in contrast with a 12 months prior

In line with a survey fielded by Brick Meets Click on and Mercatus in November 2021, the US on-line grocery market generated $8.6 billion in gross sales throughout November, together with $7 billion from pickup and supply and $1.6 billion from ship-to-home (grocery objects – sometimes dry items – shipped via parcel couriers like FedEx, UPS, and USPS). This represented a 6% gross sales achieve over the $8.1 billion in on-line grocery gross sales reported in November 2020.

The variety of households shopping for on-line groceries additionally jumped 15% between November 2020 and November 2021, with practically 69 million US households shopping for some quantity of groceries on-line.

Particularly, the Pickup phase of on-line grocery has grown significantly in comparison with November 2020, rising greenback gross sales 29% versus the earlier 12 months, in contrast with simply 6% progress for Supply over the identical interval. Ship-to-Residence gross sales, in the meantime, dropped 27% over this 12-month interval, reflecting the adjustments in US shoppers’ grocery shopping for habits.

David Bishop, Accomplice at Brick Meets Click on, mentioned that, “At the same time as complete on-line grocery gross sales improve, some typical and regional grocers have reported softer gross sales efficiency throughout November, which is why wanting on the broader eGrocery market is so vital for figuring out particular alternatives for enchancment. For instance, not providing pickup is more likely to weigh on gross sales progress.”

Pageviews throughout massive UK grocery store web sites have dropped by a median of 21.5% since March 2021 peak

Pageviews throughout UK supermarkets’ web sites have dropped by a median 21.5% since they peaked in March 2021, reflecting an elevated transfer by shoppers to in-store procuring in the course of the strategy to Christmas. Of all the big grocery store chains within the UK, Aldi has skilled the most important drop-off in site visitors, declining 35% on this eight-month interval. In the meantime, Morrisons noticed pageviews fall by 30%, and Sainsbury’s by nearly one-quarter, in accordance with knowledge from Similarweb.

Huge names Tesco and Asda, nevertheless, look like retaining prospects on its on-line platforms extra successfully, with every seeing an 18% decline in site visitors by comparability. In addition they ranked highest for the proportion of return guests to their web sites in November – 70% of Tesco’s pageviews originated from those that had visited or shopped there earlier than, whereas they made up 65% of views on Asda.com. Sainsbury’s got here third on this metric at 64%, and Morrison’s fourth at 58%.

While pageviews are down on their pandemic peak, they’re nonetheless round 35% increased than pre-pandemic ranges.

Practically 1 in 4 US on-line grocery buyers plan to make extra frequent purchases in 2022

An October 2021 survey by Acosta has discovered practically 1 in 4 (23%) of US on-line grocery buyers plan to make extra frequent purchases by way of this methodology within the coming 12 months. This determine rises to 31% of those that say they store on-line all or more often than not, and to 27% of those that usually store on-line however make nearly all of purchases in in-store environments.

Comfort, a stress-free expertise and velocity are crucial traits of on-line grocery procuring in accordance with American shoppers. Nevertheless, 80% say they nonetheless wish to pop in-store for particular objects that they like to pick themselves.

Knowledge reveals ecommerce will now account for 20% of the US grocery market inside the subsequent 5 years to 2026, in comparison with simply 14.5% had the pandemic not occurred. This demonstrates that Covid-19 on-line procuring behaviours have turn into habit-forming and can completely and steadily develop within the wake of the pandemic to achieve $1.29 billion in income. Present share of on-line grocery sits at round 9.5% within the area.

Whole UK on-line grocery gross sales fall 8.6% year-on-year in October 2021 forward of Christmas interval

Whole UK on-line grocery gross sales fell 8.6% year-on-year in October 2021 as shoppers choose to buy in-store forward of Christmas. Visits to brick and mortar supermarkets elevated by 6.5% within the 4 weeks to November sixth, equating to an extra 28 million extra visits than the identical time the 12 months earlier than. That is in accordance with new NielsenIQ knowledge reported by The Grocer.

Whereas this represents fairly a major decline for the net grocery market, on-line share of gross sales solely dipped barely. It now accounts for 12.2% of all grocery gross sales, down from 12.6% in September. Nielsen places this all the way down to smaller basket sizes amongst buyers as the necessity to fill up on meals merchandise has diminished. Threats of an imminent winter lockdown are additionally much less distinguished.

There stays loads of uptake in on-line grocery supply strategies, with the variety of households procuring this manner at the least as soon as a month declining simply 3% year-on-year. Nevertheless, many have additionally been tempted again in-store as evidenced by larger footfall and solely a slight decline in until gross sales (2%) as knowledge laps intervals of very excessive demand in 2020. Because of this, it’s probably we’ll see shoppers proceed to undertake this hybrid strategy to common meals procuring now that previous and new habits align.

September 2021 UK on-line grocery gross sales at lowest since Might 2020, whereas common basket measurement falls

UK on-line grocery gross sales fell to 12.2% of the whole grocery market in September 2021, in comparison with 13% within the 4 weeks earlier than, in accordance with a report from The Guardian on current analysis by Kantar. This marks on-line share at its lowest since Might 2020 as much more shoppers begin travelling to brick-and-mortar shops to purchase meals.

The common family now spends £78.28 when testing on-line, which is sort of £17 lower than what was recorded on the peak of the pandemic, reflecting a transfer to smaller, extra frequent in-store grocery visits, combined with consuming out, reasonably than massive weekly or fortnightly deliveries.

Grocery store costs elevated in September, whereas the variety of promotions on-line and offline plummeted, evaluation signifies. Within the 4 weeks to mid-September, simply 27.5% of cash spent on groceries have been relevant for offers and reductions, which in accordance with Kantar is the ‘lowest stage recorded in 15 years’.

Consequently, complete grocery gross sales fell by 1.9% year-on-year in the course of the 12 weeks to mid-September, however stay a lot increased than earlier than the pandemic started(+8.7%). Nevertheless, footfall is rising, with supermarkets seeing the best variety of in-store prospects all 12 months (exterior of Easter) in the course of the first week of September.

Walmart’s US ecommerce gross sales rose 37% year-on-year in Q1 2021

US ecommerce gross sales for retail large Walmart rose 37% year-on-year in Q1 2021, and 49% throughout its worldwide markets, in accordance with a monetary assertion.

The sharp improve within the retailer’s worldwide ecommerce earnings was maybe probably the most shocking determine of all, given its current divestments of Asda within the UK and Seiyu in Japan. In the meantime, constant progress in its US on-line income for the quarter has meant Walmart’s ecommerce gross sales within the area have greater than doubled within the final two years.

One in all its manufacturers, Sam’s Membership, a membership-only retailer, noticed a very sturdy improve in ecommerce gross sales over the interval, leaping 47%. General Sam’s Membership membership ‘reached an all-time excessive’, and revenue (throughout all channels) grew 12.7%, in accordance with the assertion. Consequently, as with different membership-based retailers, Sam’s Membership seems to have bucked the current pattern of shoppers abandoning model loyalty in favour of value or comfort.

Doug McMillan, CEO of Walmart says he expects many shoppers to renew procuring in individual, which might impression the spike in ecommerce progress transferring ahead: “Within the U.S., prospects clearly need to get out and store… We anticipate continued pent up demand all through 2021.”

59% of UK grocery buyers are extra value delicate than they have been earlier than the beginning of the pandemic

A March 2021 survey performed by Pricer discovered that 59% of UK grocery shopper respondents are extra value delicate than they have been earlier than the beginning of the pandemic, due to continued monetary uncertainty amongst shoppers. In distinction, simply 15% mentioned their value sensitivity had not been impacted by the coronavirus.

Practically one half (49%) declare to have switched to cheaper own-brand merchandise because the onset of coronavirus, whereas simply over one in 5 (22%) continued to buy their most well-liked branded merchandise. Nevertheless, 60% of these surveyed now say they’re extra acutely aware of, and more likely to make the most of, promotional gives in an effort to benefit from their budgets.

A considerable 43% plan to proceed their on-line reserving of supply slots and click on and accumulate as soon as the pandemic is over, suggesting a everlasting shift in procuring habits for some prospects.

However comfort shouldn’t be the one new behavior that grocery buyers have picked up since March 2020. An additional 55% of respondents mentioned that they’ve turn into more and more extra conscious of buying regionally sourced produce as they endeavour to make extra sustainable selections.

On-line share of UK grocery procuring reached file 14% in January 2021

Evaluation of knowledge from Kantar by the Retail Gazette discovered that on-line share of grocery procuring within the UK reached a file 14% in January 2021, due to elevated spending by older demographics.

Retired households elevated their on-line grocery spend by 229% between January 2020 and January 2021, the findings counsel, proving that older generations have gotten extra snug with utilizing supermarkets’ on-line reserving and supply. They now account for 28% of the 6.4 million prospects utilizing these companies to date in January. In the meantime, mother and father have elevated their grocery spend by £50 a month year-on-year, due to ongoing faculty closures and residential working.

Throughout on-line and offline channels, buyers spent £1 billion extra with grocery store manufacturers than they did throughout the identical interval final 12 months, with a 23% rise in vegan merchandise bought as households took half in Veganuary.

July 2021 noticed year-on-year UK gross sales progress for on-line groceries falling for the primary time ever

Kantar analysis reveals 81,000 fewer individuals purchased groceries on-line in July within the UK, in comparison with the identical 4 weeks in 2020. Digital baskets shrunk by 8% to £80 and YoY gross sales progress consequently fell by 2.6%, the primary dip on file. On-line at the moment accounts for 13.3% of the market.

The net drop-off comes amid a 5.1% fall in take-home grocery gross sales for the 12 weeks to 11 July 2021. Nevertheless, regardless of this YoY lower, buyers nonetheless spent £3 billion extra in comparison with the identical interval in 2019.

Discover out extra from Kantar.

Knowledge reveals click on and accumulate and on-line grocery procuring amongst on-line procuring habits right here to remain

Analysis from Temper Media, printed in June 2021, surveyed greater than 8,000 shoppers from the US, UK, France and China and revealed new on-line procuring habits which are probably to proceed post-pandemic, and people that aren’t.

Ordering on-line to gather in-store is proving to be a extremely popular possibility which shoppers are hoping to proceed benefiting from as soon as restrictions elevate. In actual fact, one-third of US respondents cited curbside pick-up as a future desire – greater than double the worldwide common of 14%.

Globally, 25% of shoppers have mentioned they would favor to proceed procuring on-line for groceries reasonably than venturing in-store, with the UK and US main this pattern, whereas 23% mentioned the identical on the subject of shopping for expertise and electronics.

Not all procuring behaviours developed in the course of the Covid-19 pandemic are right here to remain, nevertheless. The report indicated 3 in 5 (60%) mentioned they count on to return to their previous procuring habits by the tip of 2021, rising to 74% within the US, which may very well be welcome information for bricks-and-mortar retailers. In distinction, the variety of shoppers who predict their procuring behaviours by no means to return to pre-pandemic ranges is increased within the UK (14%) than the worldwide common (9%), suggesting retail developments could differ on this market within the mid to long run.

Thus far, simply 21% of all respondents mentioned they’ve returned to their pre-pandemic procuring behaviours.

Ocado group noticed 22% improve in prospects served in half-year 2021 outcomes

In June, Ocado launched its half-year outcomes for the 26 weeks ending 30^th Might 2021. It revealed a 22% year-on-year improve within the variety of lively shoppers it was serving, regardless of the loosening of coronavirus restrictions in Spring 2021 and difficult comparability to outcomes from the primary peak of the pandemic in H1 2020. Whole prospects served in H1 2021 reached 777,000 in comparison with 639,000 the 12 months earlier than, due partly to a decline in basket measurement as demand for produce barely diminished amid the reopening of the hospitality sector.

Common orders per week have grown by 19.7% to 356,000 within the six-month interval due to Ocado’s lately elevated fulfilment capability introduced on by the unique wave of the pandemic. In the meantime, retail income rose by practically 20% to £1.2 billion, with ‘sturdy new buyer and order progress as Covid-19 restrictions ease’ the assertion mentioned. In line with additional knowledge from the Group, weekly ordering habits, which have been extra broadly unfold all through lockdowns, are starting to return to pre-Covid patterns.

Ocado says it has doubled the variety of prospects with pre-booked supply slots in H1 2021, and with plans to open two extra fulfilment centres within the second half of this 12 months, the corporate says it appears ahead to serving much more present and new prospects within the close to future.

Well being, magnificence and private care product gross sales to develop 3x quicker on-line than in-store

Having skilled big acceleration over the previous 18 months, the well being, magnificence and private care product class is predicted to see much more fast progress over the course of the following 5 years, WARC experiences. Its sister firm, Edge by Ascential, has revealed that gross sales of such merchandise are anticipated to develop 3 times quicker in on-line settings than they’re in in-store settings by 2026.

Ecommerce gross sales of this product class are predicted to achieve $358.4bn by this time, at a compound annual progress price of 12.1% versus simply 3.3% for store-based gross sales. The anticipated market worth for well being, magnificence and private care on the finish of 2021 is $202.3bn.

This rising hole between bodily and on-line gross sales inside the magnificence sector demonstrates an elevated want, as first recognized in the course of the pandemic, for correct and seamless digital try-on experiences for shoppers. Whereas some retailers have lately made steps on this space, extra innovation and funding is required to permit prospects to really feel assured in making purchases of merchandise that sometimes have to be sampled in actual life.

If the anticipated 12.1% compound annual progress price is achieved, it will imply that ecommerce might account for 26.8% of complete retail gross sales for the vertical. For comparability, ecommerce is predicted to account for 19.5% of well being, magnificence and private care gross sales by the tip of this 12 months as Covid-19 maintains an affect on procuring habits.

Tesco noticed H1 2021 on-line grocery gross sales develop an additional 2.3% above busy 2020 ranges

Tesco maintained its momentum in on-line grocery gross sales, which grew an additional 2.3% (like-for-like) within the six months to August 2021, towards a then record-breaking H1 2020. When pitted towards pre-pandemic outcomes two years in the past, this progress rises to a powerful 74.1%.

In line with an interim assertion, the grocery store chain has 6.6 million prospects utilizing its on-line grocery app, whereas over 20 million households are signed as much as its Clubcard loyalty programme thus far.

These outcomes are despite an growing variety of buyers opting to buy in-store following the lifting of most coronavirus restrictions within the early summer time. Consequently, Tesco is investing much more into its on-line fulfilment functionality, significantly within the run-up to the festive season.

‘Our annual on-line gross sales have already exceeded £6bn, boosted by elevated demand on account of the Covid-19 pandemic,’ the assertion revealed, ‘We plan to proceed this progress while continually innovating to enhance effectivity, for instance via the roll-out of city fulfilment centres (UFCs) and continued enhancements in our present guide choosing and supply operations.’

A mix of elevated in-store spend and a buoyant on-line grocery enterprise has resulted in Tesco revising its full-year income outlook upwards to £2.5-2.6 billion.

This information got here as rival Morrisons introduced a discount to its on-line grocery supply service, eradicating the choose and pack service from 50 of its shops throughout the nation after seeing on-line orders subside post-lockdown.

Ocado reported 35% income progress in 2020

On-line-only grocery retailer Ocado reported a 35% year-on-year income progress in 2020 in a monetary assertion, a consequence that it claimed displays ‘sturdy demand for on-line grocery within the UK’ amid the coronavirus disaster. Whole income reached £2.19 billion throughout the 12 months.

Ocado attributes its success to plenty of totally different points of its enterprise operation. An extra 500 workers members have been recruited in 2020 on the top of demand. Forty p.c of those current hires have been designated roles in superior expertise, such because the operation of robotic choosing methods.

Moreover, regardless of the disruptive results of the pandemic and ensuing uncertainty for purchasers, the corporate additionally acknowledged that it had obtained ‘main customer support metrics’ in its three way partnership with M&S meals. Q3 2020 evaluation from Sobeys, as cited within the outcomes, revealed on-time supply charges of 98.6%, a 99.6% basket accuracy upon supply and an total Web Promoter Rating of 87%.

Ocado named 2020’s fastest-growing UK model

BrandZ named grocery chain Ocado because the UK’s quickest rising model in 2020 in its annual High 75 Most Priceless Manufacturers report.

The corporate jumped 16 locations within the High 75 checklist for 2020, following a 63.3% progress in model worth change since 2019, settling at quantity 18. Its online-only method, in contrast to different manufacturers within the sector which even have brick-and-mortar shops, locations it in a superb place for progress via digital innovation. In line with the report, demand for its companies in the course of the peak of the pandemic was at 10 occasions it standard stage for the time of 12 months.

Others which have seen significantly quick progress additionally fall inside the meals class – Deliveroo, rising by 40% in model worth change in 2020, made quantity 29 on the checklist, whereas Simply Eat grew by 19%, inserting it just under Ocado at quantity 20.

Vodafone got here out on high within the high 75 most precious manufacturers checklist, adopted by HSBC, Shell, BP and BT, regardless of all of those manufacturers measuring double-digit declines in model worth since 2019. In actual fact, simply 10 manufacturers out of all 75 skilled progress total, highlighting the huge impression Covid-19 has had on nearly all of verticals. The remaining noticed declines or flat progress or have been new to the checklist in 2020.

On-line share of UK grocery gross sales doubled in December 2020

The Grocer reported Nielsen figures, printed in January 2021, which point out the net share of UK grocery gross sales doubled in December 2020 to 12.5%, making final December the most important on file for the sector.

In actual fact, supermarkets noticed file December gross sales throughout all channels, with complete gross sales rising 8.4% within the 4 weeks ending Boxing Day. General, prospects spent £12 billion throughout this era, of which some £1.3 billion went via on-line channels. Additional knowledge reveals that 8.5 million UK households, equating to a bit over 30% of complete households, shopped on-line for groceries over the festive season – 5.7 million greater than in the identical month of 2019.

Unsurprisingly, brick-and-mortar retailer visits fell 10%, amid considerations for security in the course of the second wave of the coronavirus, however shoppers spent on common £20 greater than standard throughout each on-line and offline settings.

Lidl skilled the best year-on-year progress for the 12 weeks to Boxing Day at a staggering 20.9%. This was adopted by Morrisons, which noticed 9.2% progress, whereas Tesco and Sainsbury’s noticed will increase of 8.6% and eight.1% respectively.

These figures are regardless of of last-minute restrictions positioned on vacation gatherings in giant areas of the UK. This appeared to have brought about some shoppers to carry again on their spending during the last two weeks main as much as Christmas, shopping for much less historically festive meals corresponding to steak, which noticed gross sales up 57% throughout that fortnight, maybe as a last-ditch various to Christmas dinner. In the meantime, gross sales of confectionary rose simply 2%, reflecting fewer events for socialising and gifting this 12 months than in earlier years.