Survey reveals how online grocers can compete with Amazon

Grocery shoppers are visiting Amazon more during the COVID-19 pandemic, but will respond to certain e-commerce features.

According to a new survey of more than 300 U.S. consumers from Inmar Intelligence, since the onset of the COVID-19 pandemic, 57% of respondents shop for groceries online more often compared to before the pandemic. Almost eight in 10 (79%) reported shopping online for groceries since the onset of the pandemic, a 39% increase from pre-pandemic levels. 

More than half (51%) of respondents purchased groceries from Amazon since the start of the pandemic - a 32% increase from before COVID-19. However, survey results revealed that consumers were inclined to select a retailer based on availability and convenience. 

Fifty-one percent of respondents preferred a grocery retailer that had the desired product type available for purchase, and 39% selected a store based on whether the grocery pick-up or delivery time was available in the preferred window. Brand manufacturers and online grocery stores also saw increases in grocery sales, with a 117% increase in direct-to-consumer grocery sales and a 48% increase in grocery sales, respectfully.

“E-commerce impacts retail sales, growth and profitability more and more each day,” said Diana Medina, VP, retail transformation, Inmar Intelligence. As consumers continue to buy their groceries online, retailers need to start engaging shoppers in new, innovative and profitable ways. They need to look at building a comprehensive digital commerce solution that can serve as the foundation for future innovation while driving sustainable growth and maintaining customer relationships.”