NEW YORK—Food quality and store atmosphere are as important to shoppers as price, according to a consumer survey from AlixPartners LLP.
“Grocery shoppers are just as choosy as ever—it’s not enough for grocers to win on price alone," said Keith Jelinek, director in the Global Retail Practice at AlixPartners. “Shoppers are looking for more from their grocery store—if it doesn’t offer quality and a pleasant experience and value, then they’re out the door. And, with expected increases in grocery spending this year, the big question is: what stores will earn those grocery dollars?"
According to the survey of 1,000 U.S. adults, 70% of consumers are making trips to the grocery store at least once per week, and 50% plan to spend more on groceries in the coming year, with 39% expecting to spend the same amount. The survey found that, in addition to food quality and store atmosphere, “frequent sales and promotions" are another factor influencing in-store purchasing decisions. The survey found that 86% of shoppers indicated they use a shopping list at least “sometimes," and 79% use coupons when developing those lists. Despite careful preparation ahead of grocery-shopping trips, 93% of those surveyed said that product displays and in-store signage—which typically point to promotional and sale items—can influence them to purchase items not on their shopping list. Furthermore, 79% of those surveyed indicated that in-store product sampling can persuade them to purchase new items.
“Consumers remain focused on value, regardless of income levels, and promotions and coupons continue to stretch their spending on groceries," said Russ Jones, director in AlixPartners’ Global Retail Practice. “And, as product display and signage remain two of the most important factors influencing purchasing, this continues to be an area of opportunity for grocers to communicate value."