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Brick-and-Mortar Purchases Decline

Specialty Food Association

Only 44 percent of shoppers on average buy most of their grocery items from brick-and-mortar stores, down 29 percent from 2020, according to consumer research from Pymnts, a financial services company. The report surveyed 2,426 U.S. consumers in late December 2022 to learn about their purchasing habits.

A small but growing share of consumers is buying all their groceries online, and roughly 39 percent of consumers participate in hybrid shopping models, making purchases both in-store and online. This is taking market share from physical stores. Consumers are also purchasing fewer grocery items when visiting a physical grocery store, down from an estimated six before the pandemic, to four, suggests the study.

“Consumers are increasingly going digital for two key reasons: convenience and the desire to find better deals,” said Pymnts. For 62 percent of shoppers opting to purchase through digital channels, convenience was noted as a significant factor. High prices and lack of deals drove 54 percent to switch to digital purchasing.

The motivators behind the push toward digital vary between consumer generations. About 45.1 percent of Gen Z consumers cite convenience as a driver of grocery store purchase reductions compared to the 30.6 percent of baby boomers who believe the same. On the other hand, older consumers are more likely to indicate cost-effectiveness as a reason to switch.

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