Simply more and more shoppers are using their smart phones and other mobile devices to purchase food online, an industry group said.
It’s a fact that online purchases are set to rise to 11.2 billion pounds by 2016 from 5.9 billion pounds this year, according to a survey by the
Institute of Grocery Distribution. That’s a stonking equivalent to 6 percent of grocery sales in five years, from an estimated 3.8 percent at the end of this year, IGD said.
The smart and savvy retailers out there are acting fast and producing more advanced retail websites and smart phone applications (Apps) to capture this increasing trend in shopper demand for home deliveries.
Last but not too late, William Morrison Supermarkets Plc is set to become the next grocery chain to adopt the “selling groceries online model” and have hired Apple Inc. executive Simon Thompson last month to oversee its online grocery plans for 2013.
It has to be admitted though, they’ve taken their time to adopt this model and other retailers, large and small predicted the growth in this area a lot quicker. William Morrison’s brand is strong and we believe they’ll see a massive increase in sales as soon as they implement these important changes. It will cost a lot to implement, but it will be well worth the effort in the long run.
Online food buying “is the fastest-growing grocery channel and one which will be used more widely in the future as shoppers become increasingly multichannel,” IGD Chief Executive Officer Joanne Denney-Finch said. IGD interviewed 170 food and grocery manufacturers in September for the survey.
It’s estimated that more than 4 in 10 adults are expected to shop online for their groceries in the next 5 to 10 years, compared with 17 percent at the moment. This was with reference shopping survey carried out in August.