15 November, 2021

What’s top of mind for online grocery retailers in the US right now?

Louise Taylor

A recent tour from New York to Cincinnati to Minneapolis saw the Northfork team connect with multiple grocery retailers. The team talked to retailers about their recent experiences, pain points and future plans.

So, what did they discover?

Online is top of mind

With half of US households buying groceries online, it’s easy to see why retailers are focusing on this.

“This is a seriously competitive market with very lean margins, so there’s a lot at stake,” comments Northfork Co-founder Erik Wallin. “We’re seeing retailers focusing on enhancing their online presence. There’s real pressure to capture market share and win over loyal customers right now.”

The value of loyalty

The need for loyalty is under scrutiny. Retailers are looking at both loyalty and engagement as their top key performance indicators (KPIs) for online grocery sales. Why? Because engaged, loyal customers mean more profitable services.

“As customers embed their new online shopping habits, retailers have the chance to map out a new future,” explains Wallin. “One with more committed, regular online shoppers. That’s why loyalty and engagement KPIs are so important.”

Raising brand awareness

Retailers are also focused on brand awareness. They need shoppers to try their service so they can convert them into loyal, long-term customers. It’s a race to lock in partners, with content publishers opening up new possibilities. Recipe content publishers are, clearly, a top target for retailers when it comes to spreading their brand name across the internet.  

The search for convenience

Finally, retailers are focused on convenience. This takes many forms. Giving customers the ability to plan and shop for their weekly meals in minutes using shoppable recipes, for example. Or being able to check out a cart straight from a third party publisher’s site. Or receiving their groceries within 15 minutes of ordering them.

“Time is precious,” concludes Wallin. “Customers recognise that and so do retailers. It’s driving innovation.”

About the author

Louise Taylor


Louise is Northfork’s editor and is passionate about all things food.
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