• Login
    • Join
  • FOLLOW:
  • Subscribe Free
    • Magazine
    • eNewsletter
    Checkout
    • Magazine
    • News
    • Exclusives
    • Nutraceuticals
    • Markets
    • Health
    • Jobs
    • Events
    • Buyers' Guide
    • Showcases
    • More
  • Magazine
  • News
  • Exclusives
  • Nutraceuticals
  • Markets
  • Health
  • Jobs
  • Events
  • Buyers' Guide
  • Showcases
  • Current & Past Issues
    Features
    Columns
    Editorials
    Digital Edition
    Subscribe Now
    Advertise Now
    eNewsletter
    Editorial Guidelines
    Top Features
    Contract Manufacturing: Trials & Tribulations of Today’s Supply Chains

    Analytical Testing in Nutraceuticals: Methods and Mindsets to Uphold Quality

    Nutrition and Flavor: Formulating for Modern Product Preferences

    What Do Consumers Know About the Gut Microbiome?

    How Will the European Green Deal Impact Dietary Supplements?
    Breaking News
    Certifications, Approvals and Patents
    Exclusives
    Industry & Market News
    People
    Products
    Regulatory
    Research
    Supplier News
    Supplier Insights
    Live From Shows
    Top News
    Charlotte’s Web Sports Product Line to Undergo NSF Certification Process

    ADM and Benson Hill Partner to Scale High Protein Soy for U.S. Market

    Tazo Transitions to Regenerative Organic Agriculture

    Protein Ingredient Formulated for Chronic Kidney Disease Patients

    IADSA Calls for Addressing Discrepancies in Vitamin C Recommendations
    Exclusives
    Blogs & Guest Articles
    Health E-Insights
    Area Code 420
    eBook
    Antioxidants
    Dairy-Based Ingredients
    Enzymes
    Fatty Acids
    Fiber & Carbohydrates
    Green Foods
    Herbs & Botanicals
    Marine Nutraceuticals
    Minerals
    Omega 3s
    Probiotics & Prebiotics
    Proteins, Peptides, Amino Acids
    Sweeteners
    Vitamins

    Fact or Myth: Antioxidants Negatively Impact Iron Absorption

    Charlotte’s Web Sports Product Line to Undergo NSF Certification Process

    ADM and Benson Hill Partner to Scale High Protein Soy for U.S. Market

    Tazo Transitions to Regenerative Organic Agriculture

    Protein Ingredient Formulated for Chronic Kidney Disease Patients
    Consumer Trends
    Contract Manufacturing
    Cosmeceuticals / Nutricosmetics
    Delivery & Dosage Technologies
    Dietary Supplements
    Flavors & Colors
    Functional Foods & Beverages
    Healthcare Trends
    Medical Nutrition
    Mergers & Acquisitions
    Natural/Organic
    Nutrition Bars
    Packaging
    Pet Nutraceuticals
    Quality & Safety
    Regulations
    Research
    Testing
    World Markets

    Fact or Myth: Antioxidants Negatively Impact Iron Absorption

    Charlotte’s Web Sports Product Line to Undergo NSF Certification Process

    ADM and Benson Hill Partner to Scale High Protein Soy for U.S. Market

    Tazo Transitions to Regenerative Organic Agriculture

    Protein Ingredient Formulated for Chronic Kidney Disease Patients
    Bone & Joint Health
    Cancer Risk
    Cardiovascular Health
    Cognitive Function
    Diabetes & Blood Sugar Management
    Digestive Health
    Energy
    Eye Health
    Healthy Aging
    Immune Function
    Infant & Children's Health
    Inflammation
    Men's Health
    Mood Health & Sleep
    Oral Health
    Sexual & Reproductive Health
    Skin Health
    Sports Nutrition
    Weight Management/Weight Loss
    Women's Health

    Charlotte’s Web Sports Product Line to Undergo NSF Certification Process

    Caffeine-Free Energy Supplement Linked to Alertness, Fatigue Benefits

    Monk Fruit Sweetener May Have Prebiotic Activity, Study Finds

    People with Low-Fiber Diets Benefit the Most from Fiber Supplements, Study Finds

    Gut Microbiome May Be Part of Link Between Red Meat and Heart Disease Risk
    Industry Events
    Live From Show Events
    Webinars
    All Companies
    Categories
    Trade Associations
    Company Capabilities
    International Buyers Guide Companies
    Aiya America, Inc. (Aiya Matcha)

    KLK OLEO

    Atlantia Clinical Trials

    ESHA Research

    BGG World
    Companies
    Product Releases
    News Releases
    Literature / Brochures
    White Papers
    Jobs
    VIdeos
    Services
    Add New Company
    International Buyers Guide Companies
    Aiya America, Inc. (Aiya Matcha)

    KLK OLEO

    Atlantia Clinical Trials

    ESHA Research

    BGG World
    • Magazine
      • Current / Back Issue
      • Features
      • Editorial
      • Columns
      • Digital Edition
      • eNewsletter Archive
      • Editorial Guidelines
      • Subscribe Now
      • Advertise Now
    • Breaking News
    • Buyers' Guide
      • All Companies
      • Categories
      • Trade Associations
      • Company Capabilities
    • Nutraceuticals
      • Antioxidants
      • Dairy-Based Ingredients
      • Enzymes
      • Fatty Acids
      • Fiber & Carbohydrates
      • Green Foods
      • Herbs & Botanicals
      • Marine Nutraceuticals
      • Minerals
      • Omega 3s
      • Probiotics & Prebiotics
      • Proteins, Peptides, Amino Acids
      • Sweeteners
      • Vitamins
    • Markets
      • Consumer Trends
      • Contract Manufacturing
      • Cosmeceuticals / Nutricosmetics
      • Delivery & Dosage Technologies
      • Dietary Supplements
      • Flavors & Colors
      • Functional Foods & Beverages
      • Healthcare Trends
      • Medical Nutrition
      • Mergers & Acquisitions
      • Natural/Organic
      • Nutrition Bars
      • Packaging
      • Pet Nutraceuticals
      • Quality & Safety
      • Regulations
      • Research
      • Testing
      • World Markets
    • Health
      • Bone & Joint Health
      • Cancer Risk
      • Cardiovascular Health
      • Cognitive Function
      • Diabetes & Blood Sugar Management
      • Digestive Health
      • Energy
      • Eye Health
      • Healthy Aging
      • Immune Function
      • Infant & Children's Health
      • Inflammation
      • Men's Health
      • Mood Health & Sleep
      • Oral Health
      • Sexual & Reproductive Health
      • Skin Health
      • Sports Nutrition
      • Weight Management/Weight Loss
      • Women's Health
    • Online Exclusives
    • Webinars
    • Slideshows
    • Blogs & Guest Articles
    • Health E-Insights
    • Videos
    • Podcasts
    • Infographics
    • eBook
    • Whitepapers
    • Research
      • TrendSense
      • Monograph Center
      • White Papers
      • Research News
    • Jobs
    • Events
      • Industry Events
      • Live From Show Events
      • Webinars
    • Supplier Showcases
      • Companies
      • Product Releases
      • News Releases
      • Literature / Brochures
      • White Papers
      • Jobs
      • VIdeos
      • Services
    • About Us
      • About Us
      • Contact Us
      • Advertise With Us
      • Privacy Policy
      • Terms of Use
    Breaking News

    E-Commerce Grocery Purchases Double, Costs Remain for Smaller Players

    Low margins and unpredictable shipping and fulfillment costs present challenges for online grocers.

    E-Commerce Grocery Purchases Double, Costs Remain for Smaller Players
    Households with kids remain the most lucrative demographic for online grocery shopping.
    Related CONTENT
    • Clinical Nutrition: A New Market Opportunity
    • The Sleep-Stress Connection
    • Happy Pets, Happy Consumers: Developing On-Trend Pet Nutrition Products
    • An Interview with Ned Becker of Columbia Nutritional
    • Cannovia: Clearing Up CBD Market Confusion
    09.24.19
    Online grocery purchases nearly doubled in the past year, with 66% of consumers noting their loyalty to shopping through e-commerce, according to the TABS Analytics 7th Annual Food and Beverage Consumables Study.
     
    Amazon, Walmart and Target have made the largest gains in market share. However, the greater demand is revealing significant structural problems—low margins and unpredictable shipping and fulfillment costs—that could impact the profitability and sustainability of the business model.
     
    The study also reported that while still low compared to other categories, organic purchasing saw noteworthy gains in the past year. If this trajectory can be maintained over the next few years, organic products can attain greater prominence in product mixes.
     
    "The trends in e-commerce grocery and organics reveal how previously niche markets associated with millennial purchasing patterns are moving closer to mainstream as these individuals enter new stages of life: getting married, having kids and enjoying greater income—all factors in heavy purchasing," said Dr. Kurt Jetta, executive chairman and founder of TABS Analytics. "Online grocery, however, may become a victim of its own success, as more sales lead to greater losses because of the variable supply chain costs. While the big three e-commerce giants may be able to offset these losses through their offering of higher-margin products—like jewelry and baby gear—online offerings by traditional grocery banners and pure play online grocery looks to be a hopeless endeavor."
     
    TABS' Seventh Annual Food and Beverage Study was conducted in August 2018, surveying 1,000 adults (18+) to uncover how consumer buying patterns within these categories are shaped by the promotions offered. There were 15 consumables categories analyzed: candy, carbonated beverages, cereal, cookies, crackers, frozen pizza, ice cream, juice (refrigerated), juice (shelf), frozen novelties, popcorn, salty snacks, sports drinks, water, and yogurt.
     
    Other key findings from the study include: 
     
    Brick and mortar stores continues to dominate. Even though over half of consumers report shopping for groceries online, brick and mortar grocery still accounts for 92% of transactions, with 99% of adults purchasing at these stores regularly. Though dropping year-over-year, traditional grocery maintains the highest share, followed by Walmart, dollar stores, and Target. Dollar stores grew more than two percentage points in share since 2018. 
     
    Deals remain popular, but tactics change. While promotional engagement overall was flat compared to last year, there was a big shift in the tactics used. With the decline in newspaper readership, use of circulars and free standing inserts (FSI) experienced sharp drops. This was countered with the popularity of two passive deal tactics—purchasing of private label brands and bonus packs—which gained significant traction. Use of deals by light (two or fewer deal tactics) and medium (three to five deal tactics) users continues to grow, but in 2019, TABS Analytics reported a meaningful decline in the most dedicated segment: those who use six or more. 
     
    Households with kids remain the most lucrative demographic. This group is 50% more likely to be a heavy grocery purchaser; 41% of households with kids (percent of respondents) are heavy buyers of grocery compared to only 27% of households without kids.
    Related Searches
    • Drinks
    • millennial
    • Cereal
    • Beverages
    Related Knowledge Center
    • Consumer Trends
    Suggested For You
    An Interview with Ned Becker of Columbia Nutritional An Interview with Ned Becker of Columbia Nutritional
    Happy Pets, Happy Consumers: Developing On-Trend Pet Nutrition Products Happy Pets, Happy Consumers: Developing On-Trend Pet Nutrition Products
    The Sleep-Stress Connection The Sleep-Stress Connection
    Clinical Nutrition: A New Market Opportunity Clinical Nutrition: A New Market Opportunity
    Cannovia: Clearing Up CBD Market Confusion Cannovia: Clearing Up CBD Market Confusion
    Simply Good Foods Company to Acquire Quest Nutrition for $1 Billion Simply Good Foods Company to Acquire Quest Nutrition for $1 Billion
    Online Shopping & Meal Kits Take the Hassle Out of Cooking Online Shopping & Meal Kits Take the Hassle Out of Cooking
    Consumers Drive Advances in Nutraceuticals Market Consumers Drive Advances in Nutraceuticals Market
    Sustainable Foods Summit Highlights Waste Reduction & Plant-Based Protein Sustainable Foods Summit Highlights Waste Reduction & Plant-Based Protein
    CoQ10 Market Experiencing Healthy Growth CoQ10 Market Experiencing Healthy Growth
    Plant-Based Foods Market Grows to $4.5 Billion in U.S. Plant-Based Foods Market Grows to $4.5 Billion in U.S.
    Getting Ahead of the Curve: Energy Gen 2 Getting Ahead of the Curve: Energy Gen 2
    Nearly Three Quarters (72%) of Americans Confused by Nutrition Labels Nearly Three Quarters (72%) of Americans Confused by Nutrition Labels
    Affluent Consumers Drawn to Natural and Organic Products Affluent Consumers Drawn to Natural and Organic Products
    Clean & Fresh:  Innovation Saturates  Beverage Market Clean & Fresh: Innovation Saturates Beverage Market

    Related Columns

    • Dietary Supplements | Healthcare Trends | Quality & Safety | Regulations
      Clinical Nutrition: A New Market Opportunity

      Clinical Nutrition: A New Market Opportunity

      Clearer language and scientific documentation for product benefits could open new doors for nutraceuticals in healthcare settings.
      By Greg Stephens, Windrose Partners, & Sheila Campbell, PhD, RD 09.09.19

    • Consumer Trends | Delivery & Dosage Technologies | Dietary Supplements | Healthcare Trends | Herbs & Botanicals | Mood Health & Sleep | Research
      The Sleep-Stress Connection

      The Sleep-Stress Connection

      Poor mood and lackluster sleep are beginning to be treated not as symptoms, but rather lifestyle issues to be managed holistically.
      By Melissa Kvidahl Reilly, Contributing Writer 09.09.19

    • Bone & Joint Health | Consumer Trends | Dietary Supplements | Natural/Organic | Pet Nutraceuticals | Proteins, Peptides, Amino Acids | Weight Management/Weight Loss
      Happy Pets, Happy Consumers: Developing On-Trend Pet Nutrition Products

      Happy Pets, Happy Consumers: Developing On-Trend Pet Nutrition Products

      The role pets play in U.S. households has been redefined, and more people are buying products designed to support a long and healthy life for their furry pals.
      By Kevin Owen, PhD, Global Business Development, Companion Animals Lonza Consumer Health & Nutrition 09.09.19


    • Contract Manufacturing | Dietary Supplements
      An Interview with Ned Becker of Columbia Nutritional

      An Interview with Ned Becker of Columbia Nutritional

      Over the course of his career, Becker has worked with hundreds of different brands.
      By Sheldon Baker 09.09.19

    • Herbs & Botanicals | Quality & Safety
      Cannovia: Clearing Up CBD Market Confusion

      Cannovia: Clearing Up CBD Market Confusion

      CEO Brian Baum discusses the future of CBD innovation and product development.
      By Sheldon Baker 08.30.19

    Loading, Please Wait..
    Trending
    • First Day Life Shuts Down Children's Behavioral, Cognitive Health Claims Following Challenge
    • Study Examines Vitamin K2 Content In Cheese
    • Chenland Nutritionals Self-Affirms GRAS For Cumin UP60 Ingredient
    • Pycnogenol Evidenced To Have Skin Benefits In Dermatology Study
    • ADM And Benson Hill Partner To Scale High Protein Soy For U.S. Market
    Breaking News
    • Charlotte’s Web Sports Product Line to Undergo NSF Certification Process
    • ADM and Benson Hill Partner to Scale High Protein Soy for U.S. Market
    • Tazo Transitions to Regenerative Organic Agriculture
    • Protein Ingredient Formulated for Chronic Kidney Disease Patients
    • IADSA Calls for Addressing Discrepancies in Vitamin C Recommendations
    View Breaking News >
    CURRENT ISSUE

    July/August 2022

    • A Growing Herbal Products Market Still Faces Formidable Threats, Challenges
    • Analytical Testing in Nutraceuticals: Methods and Mindsets to Uphold Quality
    • Nutrition and Flavor: Formulating for Modern Product Preferences
    • Contract Manufacturing: Trials & Tribulations of Today’s Supply Chains
    • How Will the European Green Deal Impact Dietary Supplements?
    • What Do Consumers Know About the Gut Microbiome?
    • View More >

    Cookies help us to provide you with an excellent service. By using our website, you declare yourself in agreement with our use of cookies.
    You can obtain detailed information about the use of cookies on our website by clicking on "More information”.

    • About Us
    • Privacy Policy
    • Terms And Conditions
    • Contact Us

    follow us

    Subscribe
    Nutraceuticals World

    Latest Breaking News From Nutraceuticals World

    Charlotte’s Web Sports Product Line to Undergo NSF Certification Process
    ADM and Benson Hill Partner to Scale High Protein Soy for U.S. Market
    Tazo Transitions to Regenerative Organic Agriculture
    Coatings World

    Latest Breaking News From Coatings World

    SONGWON Industrial Group Reports Strong Q2 Financial Results
    PPG Completes COLORFUL COMMUNITIES Project for Boys & Girls Clubs of Greater Houston
    Paul N. Gardner Now Offers Bacharach Sling Psychrometer
    Medical Product Outsourcing

    Latest Breaking News From Medical Product Outsourcing

    'Graft-on-a-Chip' Built to Improve Vascular Graft Success
    Abbott Invests €440 in New Irish Facility
    FDA Approves Guardant Health's NGS-Based Companion Diagnostic
    Contract Pharma

    Latest Breaking News From Contract Pharma

    AskBio Appoints Clinical Ops Executives
    SpectrumX Partners With UK Contract Manufacturer
    GL Chemtec Partners with Edgewater Capital to Accelerate Growth
    Beauty Packaging

    Latest Breaking News From Beauty Packaging

    Arkay Chairman Emeritus Howard Kaneff Has Died
    Nutricosmetics Market to Hit $13.7 Billion by 2030
    Estée Lauder Pledges 100% Electric Fleet of Vehicles by 2030
    Happi

    Latest Breaking News From Happi

    J&J To Stop Global Sales of Talc-Based Products by 2023
    Net Sales Increase 2% for Naples Soap Company in Second Quarter
    Net Revenue Down 12% for Grove Collaborative in Second Quarter
    Ink World

    Latest Breaking News From Ink World

    Heidelberg Enjoys Successful Start to 2022-23 Fiscal Year
    Mimaki Announces New LATAM Website
    Paul N. Gardner Offers Bacharach Sling Psychrometer
    Label & Narrow Web

    Latest Breaking News From Label & Narrow Web

    Esko, Constantia Flexibles announce acquisitions and more
    Hybrid Software joins The Flexo Xperience Center
    Flexo Wash LLC and Mike Potter celebrate 20 years
    Nonwovens Industry

    Latest Breaking News From Nonwovens Industry

    Focke & Co. to Host Destination: Your Hygiene Hub on August 31
    Exports Dominate Chinese Trade of Tissues, Hygiene Products and Wipes
    Freudenberg to Present Friction Inserts for Wind Energy
    Orthopedic Design & Technology

    Latest Breaking News From Orthopedic Design & Technology

    Dental 3D Printing Market is Expanding 20% Annually
    Study Results Released for Abbott's Concussion Blood Test
    Bone Growth Stimulators Market to Top $3B by 2030
    Printed Electronics Now

    Latest Breaking News From Printed Electronics Now

    eMagin Corporation Announces 2Q 2022 Results
    Zebra Technologies’ Emission Reduction Targets Validated by SBTi
    Identiv Delivers Impressive 41% Year-over-Year Growth in RFID Business

    Copyright © 2022 Rodman Media. All rights reserved. Use of this constitutes acceptance of our privacy policy The material on this site may not be reproduced, distributed, transmitted, or otherwise used, except with the prior written permission of Rodman Media.

    AD BLOCKER DETECTED

    Our website is made possible by displaying online advertisements to our visitors.
    Please consider supporting us by disabling your ad blocker.


    FREE SUBSCRIPTION Already a subscriber? Login