Western Grocer Serving the industry since 1916
As the 2023 holiday shopping season approaches, Canadian grocers are gearing up to face a unique set of challenges – as well as opportunities. With the spectre of inflation and a possible recession casting a shadow over the minds and pockets of Canadian consumers, this year’s holiday rush promises to be both competitive and critical for Canadian retailers in all sectors – including grocery. Additionally, with the constant news of skyrocketing grocery costs in the country, price-consciousness will no doubt dominate shoppers’ minds this year. In light of these market dynamics and evolving consumer preferences, Canadian grocers must innovate and adapt to flourish during the 2023 holiday shopping season.
Here are my top tips for Canadian grocery destinations looking to thrive – not just survive – this upcoming holiday season.
Offer Seamless Shopping Experiences – Now More Than Ever
In today’s retail landscape, consumers are adopting a hybrid approach to their shopping behaviour. While they have returned to physical stores, the preference to shop online is growing. Despite potential financial constraints, this hybrid retail experience is reshaping consumer behaviour, and grocers must equip themselves with the necessary technology to effectively monitor and manage this shift.
Recent findings highlight the changing dynamics in consumer behaviour. In 2023, 57% of consumers globally plan to continue shopping in-store and take their purchases with them, a notable increase compared to 45% reported in SOTI’s 2022 retail report. Additionally, 61% of consumers intend to keep buying online for direct delivery, up from 54% in 2022 while 34% prefer the convenience of Buy Online, Pick Up In-Store (BOPIS), which is an increase from 27% in the previous year.
On the other hand, physical grocery stores should focus on delivering an exceptional and personalized shopping experience. In an era where online shopping is booming, the physical store’s value lies in providing unique, hands-on experiences that cannot be replicated digitally. Grocers should leverage technologies like augmented reality and interactive displays to engage and captivate customers while offering tailored services, such as personal shopping assistance or exclusive in-store promotions.
Sustainability Is Now Crucial
In today’s conscientious consumer landscape, sustainability is no longer a buzzword but a decisive factor influencing shopping choices. Recent data shows that in Canada, 58% of consumers express a strong inclination to shop with retailers who provide sustainable options for returning items. This statistic underscores the growing importance of environmentally friendly practices in the retail and grocery sector.
Furthermore, 44% of Canadian consumers have expressed a preference for online retailers that offer sustainable delivery options, such as carbon offset delivery or recyclable packaging. This shift in consumer preference towards eco-conscious shipping methods reflects the broader global trend where sustainability is becoming a key consideration in the shopping experience.
On a broader scale, 54% of consumers worldwide now favour more sustainable approaches to returning items. Countries such as Mexico, Canada, and France are among those with the highest rates of preference for sustainable return options. This global shift underlines the significance of sustainability as a shared value among consumers, transcending borders.
For Canadian grocers gearing up for the 2023 holiday season, these findings demonstrate the importance of integrating sustainable practices into their operations. Implementing carbon offset delivery and recyclable packaging can not only attract eco-conscious shoppers but also contribute to reducing the environmental impact of the grocery industry.
Sustainability has evolved into a critical factor in the purchasing decisions of consumers. Canadian grocers should prioritize eco-friendly practices, providing sustainable options for shopping, returns, and delivery. By doing so, they not only cater to the rising demand for environmentally responsible choices but also position themselves as responsible stewards of the planet.
Choose Delivery Partners Wisely
The choice of delivery partners is a make-or-break decision for Canadian grocers, especially during the holiday season. In an age where consumers demand convenience and speed, grocers must carefully select and vet their delivery partners. Perhaps surprisingly, more than one-third of consumers now indicate that a retailer’s choice of delivery partner impacts their decision to complete an order.
Consumers want their packages and grocery items to arrive swiftly, undamaged, and with clear tracking information. Any hiccups in the delivery process can lead to dissatisfaction and lost sales. Grocers should focus on working with reputable and efficient delivery partners to ensure a smooth shopping experience for their customers this busy holiday season. By partnering with trusted delivery services, grocers can build consumer trust and secure customer loyalty during the holiday season and beyond.
The 2023 holiday shopping season presents both challenges and opportunities for Canadian grocers. In the face of inflation and potential economic uncertainties, grocers must adapt to shifting consumer preferences and market dynamics. Offering seamless shopping experiences, choosing reliable delivery partners, and prioritizing sustainability are key strategies for success. By addressing these key points, Canadian grocers can look forward to a prosperous holiday season in 2023.
As SVP of Product Strategy at SOTI, Shash Anand oversees the company’s evolution from a single product centered around Mobile Device Management (MDM) to an integrated platform that solves many of the challenges around Enterprise Mobility Management (EMM).
