14% of Consumers Exclusively Purchase Groceries Online

A small but significant share of consumers steer clear of grocers’ physical stores completely, turning to their smart devices to purchase the foods and beverages they need, PYMNTS Intelligence reveals.

By the Numbers

For the recent report “Consumer Interest in an Everyday App,” a PYMNTS and PayPal collaboration, we surveyed more than 2,200 U.S. consumers to understand how they use apps to meet their shopping and financial needs, among other matters.

According to the results, 14% of consumers reported that, in the previous 30 days, they had exclusively purchased groceries using internet-connected devices. Plus, an additional 39% purchased groceries both by using connected devices and via more traditional means.

The Data in Action

In an effort to provide a fully digital experience, eGrocers continue to target this group with both delivery and pickup options.

For instance, last month, food and household products distributor MSG Distributors announced that it has acquired online consumer-facing wholesale retailer Boxed.com with a plan to bring back the eGrocer with new and returning products.

“The loyalty and trust that customers and brands have in Boxed is priceless, and we are committed to continue this model of offering bulk-sized products to customers at wholesale prices,” MSG president Mark Gadayev said in a statement.

Meanwhile, curbside-only grocers are emerging in an effort to create an eCommerce model that is cheaper than delivery. For example, earlier this year, drive-thru grocer JackBe opened its first location.

“In the first month since we’ve opened, 50% — half — of the people that have come and tried our facility have come back for more than one order,” CEO Alex Ruhter told PYMNTS in a February interview. “And when you look at that trend across other areas in the food delivery kind of grocery industry, I believe we’re trending higher than what would typically be the average in that area.”