Shrinking basket size a puzzle for online grocery retailers
Like all retailers and brands right now, online grocers are trying to navigate a tricky inflationary environment, albeit one with a unique twist as it pertains to a reduction in buying groceries online. As Scott Crawford, chief merchandising officer at FreshDirect, explained to PYMNTS, the confusion stems from the fact that while food costs are up, basket size is not. “We’re also seeing the basket shift”, he said. “The challenge that we’re having a hard time trying to understand is, ‘Is the basket shifting or normalizing because of getting open again and back to normal [or because of inflation]?’ That’s probably the biggest piece that we’re having a harder read on because the basket’s starting to look like 2019. So, 2019 obviously had less units than ’20 and ’21”.
Source: pymnts.com
US: Schnucks gets into the ultra-fast grocery delivery business
Schnuck Markets is getting into the ultra-fast grocery delivery game, via a partnership with Instacart, the regional grocer announced. Schnucks Now promises delivery in as little as 30 minutes, focused on smaller, convenience-type orders. The service will be available at all of Schnucks’ 112 stores in Missouri, Illinois, Indiana and Wisconsin, the company said.
Source: winsightgrocerybusiness.com
Competition Bureau to study competition in Canada’s grocery sector
The Competition Bureau is launching a study of grocery store competition in Canada. The study will examine various issues with the goal of recommending measures that governments can take to help improve competition in the sector.
Source: canada.ca
Canada: New Goodness Me! Natural Food Market in London is now open!
Goodness Me! Natural Food Market opened its new 18,000-square-foot store, located at 1735 Richmond Street in London, Ontario on Thursday, October 20, 2022. Features of the London location include: A wide selection of 100% organically grown fruits and vegetables, including offerings from many local farms such as Pfennings Organic Vegetables in New Hamburg, Ontario and Paradise Fields Organic Farm in Binbrook, Ontario. The Good Kitchen - featuring healthy & delicious meal options, with a focus on fresh, nutritious ingredients, organically grown fruits & vegetables, humanely raised meats, and sustainable seafood.
Source: globenewswire.com
US: Harps Food Stores to acquire The Markets
Harps Food Stores plans to enter two new states with the purchase of Gulf region independent grocer The Markets. Financial terms of the agreement weren’t disclosed. Under the deal, Springdale, Arkansas-based Harps is slated to acquire all seven The Markets stores in central Louisiana and southwestern Mississippi from parent company Supermarket Operations Inc.
Source: supermarketnews.com
US: Harbor Foodservice acquires NW Foodservice Distribution
Harbor Foodservice, the Northwest's top family-owned, independent distributor, has acquired Longview, Washington-based NW Foodservice Distribution, Inc., a broadline foodservice distributor servicing Southwest Washington and Northwest Oregon. The move to acquire NW Foodservice continues Harbor Foodservice's long-term strategy to expand its presence throughout the Pacific Northwest.
Source: prnewswire.com
UK: Marks and Spencer looks to boost Ocado grocery deliveries
Marks & Spencer's Chief Executive, Stuart Machin, is working on a blueprint to ramp up the retailer’s Ocado food delivery operation. He is embarking on a review to improve the service, with the aim of making the business more efficient and spurring growth, according to a report by The Mail On Sunday. M&S is looking to increase its share of the UK's food spending in stores and online by more than 25%. Hannah Gibson, the new boss of the Ocado Retail venture, is spearheading the review.
Source: retailtechinnovationhub.com
Spain: DIA posts 12.6% growth in net sales in first nine months
Spanish retailer DIA has reported a 12.6% increase in net sales in the first nine months of 2022, while gross sales increased by 2.4%. The company added that growth was boosted by its new customer value proposition, which has been implemented fully in Spain and Argentina.
Source: esmmagazine.com
Coles takes groceries to new heights with Australia's first-ever store-to-door drone delivery service
Coles will be Australia’s first major retailer to offer drone delivery directly from their store to customers' homes, launching a pilot service in South East Queensland with global on-demand drone delivery company Wing. From Wednesday 2 November, customers in the Gold Coast suburbs of Ormeau, Ormeau Hills, and Yatala will be among the first to pilot the store-to-door drone delivery model, offering grocery delivery in minutes, directly from the Coles store at Ormeau Village Shopping Centre. The service will gradually expand to include other nearby suburbs, delivering 500 of the most popular Coles grocery items including bread, fresh produce, convenience meals, snacks, health care items, and household essentials.
Source: colesgroup.com.au
Metro caught in week-long cyber attack
Wholesaler Metro was in the grip of an international cyber attack last week. Checkout systems and electronic price tags regularly failed as hackers took the German retail group’s IT systems hostage. Metro confirmed that the problems were over. Speaking to Krone Zeitung, Alexa Kazda-Klabouch, spokeswoman for Metro Austria, said the situation was back under control.
Source: retaildetail.eu
Spanish families plan fresh produce shopping the most, says Aldi
Aldi Spain's Observatorio de Productos Frescos (Fresh Produce Observatory) report has found that fresh produce is one of the categories that Spanish families plan the most before grocery shopping. According to the report, 9 out of 10 Spanish consumers plan milk, vegetables and fruit purchases in advance of visiting supermarkets, followed by fresh fish, fresh meat and eggs. In addition, the retailer added that consumers tend to compulsively purchase fruit and vegetables, due to their interest in discovering new varieties. Fruit works well as an indulgence category, Aldi said, with shoppers eager to discover new flavors.
Source: esmmagazine.com
Australia: Research shows grocery prices have risen almost 10% in past year
Grocery prices in Australia have risen by almost 10% in the past year, according to startling new research. The data comes from Frugl Grocery Price Index, by the price comparison app of the same name, which found prices across six categories went up 9.49% since 2021. Particular products vary greatly between states as far as price rises and falls are concerned, such as butternut pumpkin, which reduced in price by over 20% in NSW and WA and broccoli, which dropped the most in Queensland at over 60%. Managing director and CEO of Frugl Sean Smith said several factors were impacting products’ supermarket prices. “Following crop recovery from floods earlier in the year, fruit and vegetable prices were driven down by a strong supply of in-season produce”, he said. “However, this may be short-lived as more extreme weather is forecast, so shoppers should anticipate further price increases and supply shortages.”
Source: theaustralian.com.au
Half of Britons to spend less this Christmas - Kantar
Half of Britons plan to spend less on Christmas this year as a cost of living crisis, amid surging food and energy costs, curtails their purchasing power, market researcher Kantar said. Several retailers, including Britain's biggest supermarket group Tesco and online fashion seller ASOS, have warned about their profit outlook this month as they face higher energy and staff costs, and a weak pound.
Source: reuters.com