Online grocery is set for “phenomenal” growth, according to IGD, which predicts that the channel will grow by 98% over the next five years.

CEO Joanne Denney-Finch said that although online grocery currently represented just 3.4% of the overall grocery market, it was the fastest-growing sector and would have doubled in value to £11.1bn by 2017.

IGD also revealed the results of its latest ShopperVista research, which found that 58% of shoppers thought technology was saving them money, 54% said ordering groceries online saved them time, 44% said they would definitely use the internet to order their supermarket shop over the next decade and 46% said they would order more groceries if targeted by a personalised email promotions.
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Although online grocery is still in its infancy it is evolving at a blistering pace,” said Denney-Finch.

“Food companies need to view their websites as digital assets that not only sell groceries, but also add to the shopping experience through initiatives such as product reviews and ratings, or live chat with members of staff.” “Increasing smartphone and tablet use together with new fourth generation (4G) mobile technology, should boost online grocery shopping and allow shoppers to use all services retailers provide from in-store navigation to using QR codes to access recipe ideas.”
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Smartphone shopping is certainly popular with young shoppers, with six out of 10 (57%) of under-35s saying they are already doing it or keen to do so. One way retailers are capitalising on this trend is through the development of interactive virtual shopping walls.”