What Consumer Insights Can Tell Us About Grocery 'Hopping'

Grocery shopping is having a full-circle moment. In the industry’s earliest days, consumers would spend hours visiting the local butcher, baker, greengrocer, and more. Each store provided a specific slice of shoppers’ grocery lists and often offered home delivery.

Fast-forward to the early 1900s and the advent of the supermarket, when industrialization came into play. Grocery stores, bigger and stocked with a wider variety of goods, became one-stop shops. Food could be kept fresher for longer; customers began traveling farther to shop at their preferred location.

Now, in the age of the smartphone, we’ve boomeranged back. Customers are visiting several different stores to complete their shopping — not by necessity, but by choice. Tech-driven offerings like online orders, curbside pickup, and home delivery have made it easier than ever to “grocery hop.”

This reality is hard on grocers, which must now fight for every dollar their customers spend lest it goes to a competitor with a simple tap of a thumb on a touchscreen. Retailers face an imperative to reclaim market share and prove that they're the best choice for every item on customers’ lists.

Doing so means demonstrating an understanding of consumer challenges and desires. By tapping into widespread pain points and offering resonant solutions, retailers can combat grocery hopping and boost store loyalty.

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Price Sensitivity Makes Value a Priority

First and foremost, shoppers are price sensitive and looking for ways to save. Nearly nine out of 10 (88 percent) shoppers are frustrated by higher prices. Top money-saving tactics include clipping coupons, opting for generic brands, joining loyalty programs, or — according to 45 percent of shoppers — changing stores altogether.

Grocers need to not only help shoppers derive more value from their spending but communicate how they’re doing so. They must signal to consumers that they understand their budgetary challenges and have taken efforts to address them.

This might mean displaying an “annual savings” widget within a loyalty app, or perhaps totaling savings at the bottom of each receipt. However grocers choose to showcase shopper value, it must be clear and accessible.

Today’s grocery shoppers are looking for ways to make the most out of a dollar. The more value stores can deliver, the more they’ll nurture customer loyalty.

Buying Local is About Supporting Neighbors

Shoppers want to buy local groceries and support their communities. Whether it’s fresh produce from the farm down the road or a pie from the bakery on the corner, shoppers are eager to support the businesses that instill a sense of “home” and belonging.

Shopping local has always been appealing, but this trend has grown more pronounced in recent years, with nearly 75 percent of consumers saying the pandemic made them appreciate local businesses more.

Most grocers likely already source certain products from local businesses, often in the produce and bakery sections. The more they celebrate these local products, the better. Colorful signage, special promotions, and communication blasts about the first-of-the-season tomatoes can go a long way toward making shoppers feel connected to their community.

Effective Engagement Makes Shopping Less of a Chore

Shoppers want deeper engagement at the grocery store. It makes them feel more valued, improves the in-store experience, and makes grocery shopping feel like less of a chore. Indeed, nearly one-third (32 percent) of shoppers value in-store engagement more than a store’s proximity to their home.

Shoppers still want a smooth, efficient in-store experience, but that doesn’t mean it can’t be customer-centric, too. Features like flash discounts, product tastings, and displays with meal planning inspiration can help grocery shopping become more delightful and will make customers want to return again and again.

Sustainable Shopping Reinforces Consumers’ Values

Shoppers are increasingly considering the sustainability practices of the brands and retailers they support, paying closer attention to executive-level decisions about sustainable packaging, single-use plastic, and ethical sourcing of animal products.

Nearly one-third (31 percent) of shoppers report being significantly influenced by sustainability. If consumers feel their usual store isn’t aligned with their values, they’ll take their business elsewhere. Grocery executives must pay attention to these social changes and make decisions that resonate with shoppers (e.g., minimizing single-use plastic in store-brand products, rewarding consumers for making eco-conscious purchases). Then, they must authentically communicate their stance on sustainability without verging into greenwashing.

Putting it All Together

To defend against the grocery hopping trend, grocers must dedicate resources toward understanding modern consumer viewpoints. However, aligning with shoppers is just the first step.

The communications game is, perhaps, just as important. Stores must be forthcoming and highlight their efforts to make customers feel welcome and validated. If grocery leaders can put these puzzle pieces together, they’ll improve the in-store experience, grow their market share, and keep shoppers coming back for more.

Ole Buch is the CEO of Lobyco, a scalable SaaS platform that empowers grocery retailers to deliver seamless promotion management, enhanced loyalty programs, and streamlined checkout capabilities.