Are stock-up grocery trips becoming a thing of the past?
A new study says that a lot of shoppers today don’t like to linger, and that’s something retailers might want to take note of.
Almost half of shoppers (46 percent) view shopping as a chore, according to a new Nielsen report discussed in Convenience Store News. That reluctance to spend time in stores has led to a decline in big stock-up grocery trips in favor of more need-based trips. Only 10 percent plan as far as ahead as the meal they’ll be having later that day, according to the study.
These changes in shopping habits could explain what has been going on in segments dependent on stock-up shoppers, like warehouse clubs.
As far back as 2014, Costco began noting difficulties reaching younger shoppers and discussed adding organic offerings in order to appeal to both Millennials and health-conscious older customers. This year’s closing of 63 Sam’s Club stores likewise points to warehouses not having the draw they once did.
Smaller and more nimble startups may be waiting in the wings with smaller format stores. Warehouse-style online retailer Boxed, for instance, was gesturing at moving omnichannel with standalone stores earlier this year (after rejecting a $400 million buyout offer from Kroger).
Other retailers have been taking steps to cater to the speedier shopper, in part by going smaller.
Target, for instance, has successfully tackled urban environments that had once been tough to crack with its smaller, flexible-format stores.
Smaller stores now account for 25 percent of fast-moving consumer good sales and 70 percent of shopping trips, according to Convenience Store News.
Target has also been reworking the design of its larger mainline concept in part to speed things up for those looking to get in and out quickly. Last year, Target announced a “dual concept” store redesign that features two separate entrances. One leads shoppers to a department store-style layout for those apt to dwell. The other leads shoppers to grab-and-go foods, wine and beer and a spot to pick up orders.
- Nielsen: Convenience Is Ultimate Currency in Today’s FMCG Marketplace – Convenience Store News
- Does a Boxed acquisition make sense for Kroger? – RetailWire
- Boxed Rejects Kroger’s $400 Million Purchase Offer – Bloomberg
- Does Costco have a youth problem? – RetailWire
- Sam’s Club takes on Costco and Amazon with a new strategy – RetailWire
- Forget Kroger, will Boxed open its own stores? – RetailWire
- Gallup Poll says consumers prefer to shop for their own groceries – RetailWire
- Will ambitious store redesign lift Target to new heights – RetailWire
DISCUSSION QUESTIONS: What have you seen retailers doing to successfully facilitate smaller, faster trips? What can big box operators do, aside from rolling out smaller store concepts, to meet the needs of fast trip shoppers?