A new report found that more than 90% of shoppers engage in both online and in-store grocery shopping, and that online sales for grocery in the U.S. is expected to reach $388 billion by 2027.
The report, called “Digital Engagement Transforms Grocery Shopping,” was released by The Food Industry Association (FMI) and NielsenIQ. FMI predicted in 2017 that digitally engaged grocery shopper spending would reach $100 billion – or 20% market penetration – by 2025, and the report revealed that the projections were met and exceeded.
“Digital engagement is no longer a complementary strategy, it’s essential for growth,” said Kim Cox, managing director, Omnicommerce at NielsenIQ.
The report also found that Gen-Z begins its shopping journeys online and is heavily influenced by social media, and that Millennials index highest for online purchasing. In addition, 55% of respondents now make direct purchases from social media or live-stream platforms for grocery and household items.
Ninety-two percent of retailers said they are using technology, including AI, to personalize or customize shopping or marketing experiences, both online and in-store.
