Why E-Commerce Shouldn’t Be Your Only Focus
Today, nearly 30% of Americans buy groceries online. That number is expected to grow to 70% in less than 10 years. But in planning for the future, we can’t ignore the present.
Shoppers today buy according to their current needs: meal planning, health, value and convenience. And more than ever, consumers are turning to fresh foods in more of those moments. This is why viewing fresh foods in the context of the rest of the FMCG universe is essential. In fact, according to Nielsen Total Food View Americans have spent nearly $178 billion on fresh foods this past year.
Of the 3% growth we’ve seen across the market this year, e-commerce channels are responsible for 82% of the total. While all companies will need to develop and implement digital strategies, today’s digital opportunity isn’t the same for everyone.
In looking at the full picture, we see that e-commerce isn’t yet as significant for food and beverage as it is for things like electronics and clothing. In fact, food and beverage sales represent just 13% of the overall dollar volume we’ve seen online in the past year. While there’s never been a more important time to go digital, the trends in food and beverage indicate that there may be some untapped opportunities closer to home for FMCG edibles.