We know that supermarket e-commerce is still in its early stages in Switzerland, but we also acknowledge its importance and potential. E-commerce already accounts for 2% of grocery sales in Switzerland and online sales have accelerated 11% this year.
But success in online grocery won’t be guaranteed simply because a retailer sets up shop. We have identified 10 drivers that correlate most with the success of FMCG e-commerce, and Switzerland has almost all of these factors.
Consumers are looking for great deals, as well as any discounts or promotions that reduce cost. Online shopping is no different from traditional brick-and-mortar shopping in this aspect. The way promotions work in the ecommerce environment, however, is slightly different than its traditional counterpart. Look for smart ways to ensure your promotions do what they’re supposed to: get repeat customers and increase your volumes without cannibalizing existing sales.
User experience is a key driving force for the future of e-commerce. For online grocery shopping, this means having access to complete product information, including ingredients, nutritional values and transparency claims (like free-from, etc).You also want to ensure that your customers can find what they’re looking for easily, with minimal time and effort.
In an increasingly globalized society, access to a wide variety of products is beneficial, as different cuisines and dietary requirements are catered to. Make sure you increase your assortment to match your targeted client base.
Having products in stock may seem like an obvious point, but it’s essential for sales, especially to consumers who are loyal to specific brands.
MANAGE YOUR ONLINE PRODUCT PORTFOLIO EFFECTIVELY
Once you have your product content online and distributed to retailers, the challenge becomes how to best meet customers demands. Looking after a product portfolio across multiple retailer websites to guarantee that all product information and pricing is consistent, stock levels are good and the customer has a great experience is extremely important but it requires a lot of time, effort and resources.
So how do you manage all those data points, while still being able to see and act on the big picture?
By using performance analytics tools that can turn market observations into business decisions, you can focus on your three key ecommerce business areas:
Check that your products are accurately listed online and how to expand your portfolio. Analyse which products are available for purchase and how many are listed on the virtual shelf. It’s not rocket science, but if your products aren’t available, consumers can’t buy them. Monitor your competitors as well, especially those disruptor brands that may not be present in physical stores. These online-only competitors could be ones you traditionally don’t monitor—but could have a big impact on your sales.
Find out how your products perform against specific keyword searches and how best to optimize those products for each retailer site. Make sure that product images and information are current and consistent granting consumers the experience they’re seeking. And remember, if your products aren’t showing up as some of the first listed, your product will have a lesser likelihood of being sold. Make it easy on consumers to choose you by ensuring high visibility of your product.
Keep an eye on your pricing strategy and promotions, while also gaining information on what promotions your competitors are using and the effect they have on sales. You can then adjust your pricing accordingly and measure success.