IN 1930, the first supermarket opened in the US, revolutionising how consumers bought food by focusing on value and convenience. Since then, grocery stores have stayed relatively the same, with only incremental changes.
Today, megatrends in the industry are catapulting the supermarket into the future, as illuminated in The Revolution of Grocery Shopping, the most recent Hot Topic Report published by Acosta, a full-service sales and marketing agency in the consumer packaged goods (CPG) industry.
“We are at a tipping point in the grocery industry where we expect to see an increase in the rate of change,” said Colin Stewart, senior vicepresident
at Acosta. “By leaning in to the major megatrends shaping the grocery landscape, retailers and brands can ensure they are in a leadership position as the industry evolves and are taking full advantage of opportunities to capitalise on change.”
Acosta’s The Revolution of Grocery Shopping report highlights five megatrends impacting grocery, including:
- Health and wellness:
Consumers’ focus on healthy eating and lifestyles is more than just a fad; it is permanently shifting how they
approach food shopping and, in turn, how retailers and brands must cater to their attitudes and preferences.
- Meal solutions:
Convenient meal solutions are becoming a staple for shoppers who are managing
increasingly busy lives and abandoning traditional meal rituals.
Millennials are not just trendsetters. This experienceseeking, tech-adept, visually influenced
group is at the root of several fundamental changes impacting the grocery channel.
- Digital adoption:
While technology has brought the supermarket to consumers’ fingertips online, there is also a digital wave happening within the aisles of the store as evolving mobile technologies are now often part of the shopping experience.
- Perimeter growth:
While centre store accounts for 70% of a store’s profit, the perimeter area is expanding its share of space, driven by the increased interest in health and wellness, as well as millennials’ influence.
“In isolation and especially when combined, these megatrends are driving the future of grocery shopping,” continued Stewart. “It’s critical, however, that CPG retailers and manufacturers fully analyse these trends in the context of their own business and customers. With everything from advanced payment and loyalty technologies, in-store navigational apps and digital grocery tools, to even shelf-stocking robots, it’s an exciting time for the industry, but it’s also easy to get left behind.”