On the retail side, shortages on shelves are a lingering concern.
“The good news is that our research shows the produce department has the highest mean score [of any grocery department] in terms of shopper satisfaction,” says Brian Numainville, principal at The Feedback Group in Lake Success, NY.
Yet fewer shoppers in 2022 (73 percent) versus 2021 (81 percent) answered “yes” when asked if they could get everything they wanted on their shopping visits, he reports.
Those who could reported an overall satisfaction rate of 4.47 (out of 5) versus just 3.91 for those who could not find everything they wanted. “For suppliers, helping retailers with in-stock conditions is going to lead to wins in sales and satisfaction.”
Further, inflation remains a daunting concern.
“One alarming statistic from our recent research is that consumers have a highly inflated perception of grocers’ profitability,” he explains, with shoppers thinking stores have profits as high as 33 percent after expenses and taxes. “In the end, retailers need to illustrate they’re doing everything possible to help shoppers combat inflation.”
The curbside pickup trend that blossomed during the pandemic remains intact, but its importance depends on the market and other factors. “Curbside pickup seems to have built a solid presence at many stores, with somewhat fewer offering delivery or in-store pickup, and many offering one or more of these options,” Numainville says.
“At the same time, there are a number of stores that don’t offer any of these options, given labor constraints, smaller markets where it isn’t a necessity, or the lack of interest or ability to invest in the cost of offering these services,” he continues. “The path forward for retailers is to tailor their ecommerce offerings to their market.”
This is an excerpt from the cover story in the January/February 2023 issue of Produce Blueprints Magazine. Click here to read the whole issue.
