蘑菇AV

Key stat: 28.0% of Gen Z consumers have discovered grocery products via search engines, compared with 16.7% that have discovered products while browsing store shelves, per our forecast.

Younger generations are more likely to discover new grocery products via social media and search engines.

The fight for grocery dollars is heating up. Retailers that offer shoppers the right assortment of products at the lowest prices are likely to win. In order to keep dollar and discount stores from stealing share, other retailers need to borrow their pricing and merchandising strategies to connect with cash-strapped consumers.

On today's podcast episode, in our "Retail Me This, Retail Me That" segment, we discuss how younger Gen Z consumers are most likely to discover grocery products, whether this new wave of celebrity-backed brands is different from previous ones, and what social media's role in all of this is. Then, for "Pop-Up Rankings," we rank the four elements a celebrity- or creator-led consumer packaged goods (CPG) brand needs to succeed. Join our analyst Sara Lebow as she hosts analysts Blake Droesch and Carina Perkins.

US ecommerce sales will grow 9.3% to reach $1.137 trillion in 2023, per our forecast, thanks to cost-conscious consumers looking for better deals and an increasing number of digital grocery buyers. As 2023 wraps up, ecommerce will go out on a high note, with online holiday sales growth outpacing brick-and-mortar sales.

US grocery store displays averaged 80.3 per store in 2023, a decline 10.2 from 2018, according to Q3 2023 data from Circana.

On today's episode, in our "Retail Me This, Retail Me That" segment, we discuss points of tension around Trader Joe's and other cult grocery brands. Then for "Pop-Up Rankings," we rank the top four private label grocery brands people go out of their way for鈥攁nd why. Join our analyst Sara Lebow as she hosts vice president of content Suzy Davidkhanian and analyst Zak Stambor.

In a recent meta analysis, Grocery TV discovered that consumer packaged goods (CPG) brands averaged a 14% increase in incremental sales when advertising through its in-store retail media network.

At the same time, Walmart has gained traction with affluent shoppers鈥擳arget鈥檚 core audience鈥攖hanks to low-priced groceries, revamped stores, and improved private label offerings. Target also remains vulnerable due to its reliance on discretionary spending, which continues to soften as consumers tighten their wallets.

On today's episode, we discuss a part of digital ad spending that will overperform this year, why some countries will see a dip in online shopping, what will happen to time spent on social platforms, and more. Tune in to the discussion with our forecasting writer Ethan Cramer-Flood, analyst Zach Goldner, and director of forecasting Oscar Orozco.

Walmart partners with Burger King to beef up Walmart+ perks: While the retailer focuses on appealing to its core customer base, Amazon makes a move for holiday and grocery sales.

More than 181 million people in the US will be Amazon Prime members this year, representing nearly 7 in 10 (73.7%) US internet users, according to our July 2024 forecast. Many of them turn to influencers before checking out; others can be won over by better discounts from competitor retailers; while some favor Amazon for fashion over groceries.

PayPal Everywhere has also boosted PayPal鈥檚 volume in everyday categories like gas, rideshare, transit, groceries, and restaurants. Our take: PayPal鈥檚 transition may take even longer than anticipated due to rising economic uncertainty.

The insight: Consumers are cutting back on discretionary spending in anticipation of tariff-related shocks to their buying power, alongside existing inflationary pressures on necessities like groceries. Adjusted for inflation, consumer spending rose just 0.1% MoM in February after declining by 0.6% MoM in January, per the US Commerce Department.

Adjacent innovations: Grocery stores adding prepared foods, meal kits, and wellness products. Premium services: High-end retailers offering styling services that can command additional fees. Brand collaborations: Limited-time partnerships that drive urgency and store visits. What it means: The value of a store visit extends far beyond the immediate transaction.

Categories like grocery, with strong domestic supply chains, may prove more resilient than general merchandise retailers dependent on international suppliers. Last-mile intermediaries gain commerce media share. Commerce intermediaries like DoorDash and Instacart are carving out a meaningful share of commerce media revenue, confirming one of 蘑菇AV's key predictions from last year.

Alibaba鈥檚 Freshippo grocery chain is launching a 24-hour fast-track onboarding channel designed for exporters to set up shop on its platform, and will launch a dedicated section to showcase those companies鈥� products. Food-delivery company Meituan also committed to helping manufacturers begin selling on its platform, offering marketing, operations, and delivery support.

The ecommerce boom in Canada means many product categories now sell a significant percentage online. This includes grocery, which we forecast for the first time this year.