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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.

Supermarkets are winning the UK loyalty race with member pricing. Supermarkets dominate the UK loyalty landscape. In January 2024, 67% of UK consumers were members of a supermarket loyalty program, up from 56% in 2022, per Mando-Connect and YouGov.

Alcohol brands face a daunting challenge in the crowded aisles of grocery stores: capturing shoppers鈥� attention amidst a sea of competing products. They manage hundreds to thousands of active items sold across millions of stores worldwide.

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.

However, grocery habits are tough to break, and Lidl鈥檚 strategic efforts in recent years have positioned it well to sustain its momentum. This article is part of 蘑菇AV鈥檚 client-only subscription Briefings鈥攄aily newsletters authored by industry analysts who are experts in marketing, advertising, media, and tech trends.

Since the pandemic, online ordering and delivery have become table stakes for the grocery industry. Retailers like Albertsons have begun to develop tools and capabilities that provide added value for customers, focusing on creating a more convenient experience. 鈥淐onsumers think about food 226 times a day, that鈥檚 a lot of cognitive load,鈥� said Jill Pavlovich, senior vice president of digital shopping experiences at Albertsons Cos. 鈥淪o we want to take the experience from a transactional one to a helpful set of tools that can help people manage this.鈥� Albertsons leveraged customer data to identify areas for improvement across its website and mobile app.

Grocery inflation, which moves quickly through supply chains, will be an early sign of tariff impact. Employment metrics, such as job openings and unemployment rates, can signal how companies are reacting to economic pressure. In the meantime, here are three immediate actions retailers can take. Reassess ad spend.

Grocery inflation鈥攚hich peaked at 11.4% YoY in 2022鈥攄rove many cost-conscious consumers to trade down to private labels to save money. Those shoppers liked what they found; a large share (80%) say store brands are 鈥渏ust as good or better than鈥� name brands, per an Ipsos survey.

Prediction: As Amazon invests further in its grocery footprint, it will open combined brick-and-mortar/fulfillment center stores. Outcome: Correct. Amazon expanded its grocery business in 2024, opening more Amazon Fresh locations, testing small-format concepts, and rolling out new grocery subscription plans.

Case in point: Roughly a third (31%) of US consumers switched to cheaper or bargain grocery items in the last month, and 19% have done so for household necessities, per a recent Dentsu report. Pricing strategies aren鈥檛 one-size-fits-all: When it comes to pricing strategies, what works for one brand doesn鈥檛 always work for another.

The category includes groceries as well as health and beauty products. Grocery product ecommerce penetration is 9.6%. But because of the massive share of wallet, the value of goods sold online in grocery this year鈥擟$19.63 billion ($14.54 billion)鈥攔ivals the sales of some of the highest-penetrated categories.

Gen Z spends significantly on beauty products online while favoring in-store shopping for apparel. For groceries, this tech-savvy generation relies heavily on search engines and social media to discover new products. Additionally, the trend toward low- and no-alcohol beverages is gaining momentum, as many Gen Zers embrace initiatives like Dry January.

While it focuses its brick and mortar ambitions on grocery stores." However, Rachel, Jeff Edison, chief Executive of Real Estate investor, Phillips Edison, that owns Grocery anchored shopping centers says, "Can you think of any examples where Amazon have done bricks and mortar retail well?" So what do you think fair or unfair comment? Rachel Wolff (11:36):. That's an odd question.

He added that 鈥渜uick commerce will work in grocery and some adjacent categories,鈥� but Singh is skeptical of success in other categories that are led more by assisted browsing behavior. In China, the quick commerce industry has struggled with rising costs and price competition in recent years.

Instacart and Uber team up to keep DoorDash at bay: Instacart hopes the deal will protect its grocery business and widen consumer appeal, while Uber looks for new customers.

Retailers like Dollar General, Walmart, and Target are rethinking the self-checkout experience, scaling back on kiosks or removing self-checkout from their locations altogether. But considering 55% of US adults prefer to get through their in-store grocery shopping as fast as possible (according to a November 2023 survey from Kearney) it鈥檚 unlikely self-checkout will be leaving stores anytime soon. Here are five stats on self-checkout, including how and why consumers like to use it, the reason some retailers are pulling back, and what the future holds for the technology.