Side shot of a caucasian woman choosing healthy snacks from her smart fridge.
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Think back to the last time you went grocery shopping. Did you find it easy to quickly decide what to buy based on the things you care about most at the time, such as price, nutritional information, and whether it’s ethically sourced? Perhaps it is? Not. And you are not alone.
Consumers feel overwhelmed with purchasing decisions. Eight in 10 grocery shoppers find it difficult to choose between different options when deciding what to buy, according to Accenture’s latest consumer trends research.
Traditionally, grocery retailers have focused on offering a wide range of products to suit a wide range of needs. But does that mean we have too many options? Providing lots of information and product choices may seem like a good idea, but it can lead to shoppers spending more time and effort deciding what to buy. there is. result? Many people become overwhelmed and end up abandoning the purchase. And the data backs this up: 73% of grocery shoppers report feeling overwhelmed by too many choices, and 72% are discouraged from making purchases as a result. .
The study also found that 75% of consumers feel under attack by advertising, and 76% of them struggle to know if a product is living up to its promise. At the same time, more than 7 out of 10 people are confused by the various metrics used to describe product features and benefits.
retail brand matters
In a competitive market, the last thing a grocery retailer should do is make it difficult for people to shop so they don’t want to shop elsewhere. It’s not an easy job.
According to Coresight, grocery shoppers are willing to visit multiple stores to get what they need. The study found that people purchased products from an average of 21 different stores between March 2023 and February 2024. This is up from 23% during the same period from 2019 to 2023.
Therefore, the challenge for grocery retailers is to keep customers within the brand experience. Take a look at how today’s consumers experience retail stores. It includes everything from the advertising and digital marketing they receive, to their online and in-store experiences, and the customer service they encounter along the way. These are all factors that play an important role in driving sales and fostering loyalty.
But when it comes to grocery shopping, consumers often feel like a chore or a task that needs to be done every week, if not every day. While there has been a focus on making shopping easy and affordable, it’s still important to balance that with finding ways to make browsing the aisles more enjoyable.
Call the AI generation to the aisle
This is an area where AI technology, especially Gen AI, can really make a difference. This helps reduce the “thinking workload” around purchasing decisions, thereby increasing sales and increasing loyalty.
Consider how gen AI can act as a shopping advisor, a conversational tool that can provide recommendations and inspiration throughout the shopping journey. There’s a difference between having a list of things you want to buy to make a delicious meal and getting advice and ideas based on what you need right now. For example, “Create a shopping list for a dinner party for 8 people, including vegetarian options.” This, in turn, enables the grocer to become a “nearby guide” to purchasing decisions, offering human-like capabilities that can suggest recipes and complementary wines to pair with a meal, or advise on table settings and flowers. Think about how you can launch a broader engagement strategy to help you. Arrangements.
Look at Instacart. The delivery company leverages Gen AI to help customers shop for food through recipe-related conversations like “Ingredients for Pot Roast” and lets them add items to their card for delivery directly to their door. .
empower consumers
One of the many benefits of providing advice and recommendations throughout the shopping process is that it allows grocery retailers to group products together. Cross-selling is not new. But doing it in a friendlier, more helpful way that makes consumers feel empowered not only makes the decision easier, but also increases the overall value of their shopping cart.
summary
Gen AI is a new technology that can change the way people shop. This makes shopping more personal and easier than ever. And retailers agree. Three-quarters of retail executives told Accenture that they believe artificial intelligence is important to growing their business. Meanwhile, more than nine in 10 plan to increase their investments in AI and artificial AI over the next three to five years.
The time to act is now. Unlike other technologies, first-mover advantage is essential for retailers to truly reap the benefits of this exciting new technology.