You’ve probably heard more than a million times about the “new normal” ever since March 2020. But when it comes to how we live in the grocery world, there has been a whole lot of new normal that has changed our daily and weekly lives. Perhaps “normal” has been thrown more for a loop in grocery with how we market and advertise.
Let’s take a review of what has changed over the past year and led us to where we’re at in the early parts of 2021.
- Online grocery shopping had its true coming out party – it was already on the upswing, but the pandemic and being stuck at home have pushed it into the main stream.
- Engagement with digital marketing saw huge gains as customers were spending far more time online than they were with any other medium.
- A number of retailers have limited or stopped their print ads – looking for different ways to engage consumers digitally.
So, what does that all mean for where we are in 2021? Let’s explore how all of these changes materialize and how you can make the most of them going forward.
Online grocery shopping grew by more than $72 billion in 2020. That still makes up only 10% of total sales, but it’s expected to reach 25 percent by 2025 and that could come even quicker. At AWG, we have seen a huge surge in member retailers wanting to start online shopping for their stores or if they had been in it already – they’ve looked toward how they make their presence even bigger.
So, let’s start there – if you’re not in the online shopping game, it is time to make a serious look at a program for your store. At AWG, we have several options for you to choose from and we invite you to allow us to show you the options available to you.
For those already doing online shopping, it’s time to take an account of what’s going right, what needs work and where the market is heading. Some important questions to ask:
- What does the customer experience look like? Have you surveyed your customers to see how they feel about the process? If not, it may be useful information to see how they feel about the process, the technology and the experience of picking up or delivery, if you offer it.
- Online shoppers are less loyal than typical brick and mortar customers. The Mercatus report shows that 87 percent of shoppers are satisfied with their preferred brick-and-mortar store, but only 26 percent shop online at their preferred retailer. You have to make sure you are giving them reasons to continue to come back and shop with you. That means promotions, personalization and customization.
- Realize that as we move out of the pandemic, some shoppers will revert to shopping in-store, but there will continue to be a big group of shoppers that move to online shopping as the hurdles continue to be easier to get over to shop for groceries online.
- Finally, you have to promote your program. Shoppers just don’t magically know to shop your store online. You need to give them reasons to shop online, you have to educate them on the ease of the process and make it a valuable use of their time. Think about what you’re doing with in-store signage, e-mails, social media, etc. Just because you built it, does not mean they will simply come to your ecommerce site.
The World’s Going Digital
We’ve covered the meteoric rise of online shopping during the pandemic, but the digital revolution had been bubbling for years in grocery and was sent into new stratospheres during COVID. Think of your shopper’s behavior patterns. Many of us spent far more time at home and spent far more time with our devices (phones, laptops, tablets, TVs, etc.).
Most AWG member retailers had some kind of social media presence, mainly Facebook. Most had a website. Many had an e-mail program. Some had a loyalty or digital coupon program. But how many AWG retailers had a coordinated digital strategy? Sadly, not nearly enough.
The question is, how can you take advantage of the increased digital engagement by shoppers – let us show you a few different ways.
Digital Circular
We know that the weekly ad is the most visited on page on nearly every AWG member retailers’ website. But how much have those weekly ad pages changes on those websites? Not much. They’re mainly a flat PDF that a customer has to pinch and scroll to see your ad on their phone, which isn’t always the most desirable experience. That’s why we have created a digital circular that will take the customer experience of viewing your weekly ad items to the next level. Instead of a PDF, this feels like a website, that is powered by the data that comes through with your normally weekly ad items. You still get to have all the themes, sections and branding, but the customer experience is much more enjoyable and engaging. Let us show you the difference and how it can help supplement or take over your weekly print ad.
Digital Advertising
In the grocery business, we’re creatures of habit. Our business has been built around the print ad for more than 100 years. However, we know that customers are moving away from engaging with our print products each year. There’s still a market for the print product, but to put all of your marketing and advertising eggs in print is a recipe for failure.
That brings in digital advertising as an essential option in the modern grocery world. And when we say digital advertising, that can mean hundreds of different things. That includes everything from banner ads to e-mail campaigns, to e-mails, streaming audio and social networks like Facebook, Instagram and TikTok. Think about where your customers are spending their time – those are likely the places you want your messages to be seen.
However, you don’t need to be the most tech savvy guy or gal on the block to be in digital marketing for your store. The team at AWG is here to help develop plans for retailers that fit your target customers and your budget. That means from $500 all the way up to six-figure campaigns and everything in the middle. What’s important is to be open minded to new places your message can be seen and engaged with.
For help with online shopping, contact Tamara Tyree at tamara.tyree@awginc.com and for help with digital circular or digital advertising, contact Kurt Kloeblen at kurt.kloeblen@awginc.com.
