Meeting the Grocer-to-Home Delivery Challenge

E-commerce grocery shopping has the potential to become one of the most impactful disruptors to the U.S. retail landscape over the next few years. With the total Food and Beverage market valued at $700 billion—and e-commerce currently accounting for less than 1% of that market ($70 million)—a potentially lucrative opportunity exists for traditional grocers to expand into this virtually untapped arena.

As e-commerce has grown within the segment, pure-play e-commerce grocers—such as Peapod, Fresh Direct and (of course) Amazon Fresh—have emerged. Further, most brick-and-mortar grocers are specifically feeling the Amazon threat. With Amazon Pantry and Amazon Prime now delivering non-perishables and consumer packaged goods (CPG) products to customers’ doors, the online behemoth’s entrance into the perishables market has prompted multiple traditional grocers to enter the e-commerce market to varying degrees.

In direct contrast to the pure-play grocers, who operate within limited markets due to the infrastructure needed to support such an endeavor, traditional brick-and-mortar grocers have a distinct advantage: an existing network of multiple stores spread either regionally or nationwide.

Read more by downloading the TGW Systems whitepaper >>

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