{"id":566,"date":"2023-01-04T15:51:22","date_gmt":"2023-01-04T10:51:22","guid":{"rendered":"https:\/\/blog.tossdown.com\/?p=566"},"modified":"2023-01-04T16:46:06","modified_gmt":"2023-01-04T11:46:06","slug":"the-growing-trend-of-online-grocery-shopping-explained","status":"publish","type":"post","link":"https:\/\/tossdown.com\/blog\/the-growing-trend-of-online-grocery-shopping-explained\/","title":{"rendered":"The growing trend of online grocery shopping explained"},"content":{"rendered":"<p><span style=\"font-weight: 400\">The food and beverage (F&amp;B) industry has seen significant changes in the aftermath of the COVID-19 pandemic. With lockdowns and mandatory mask mandates in place, businesses and consumers increasingly \u201cwent digital\u201d,\u00a0 buying and selling more goods and services online. Canada alone saw a jump of <\/span><a href=\"https:\/\/www.cpacanada.ca\/en\/news\/pivot-magazine\/online-grocery-shopping#:~:text=While%20only%2019%20per%20cent,full%20year%20of%20pandemic%20living.\"><span style=\"font-weight: 400\">49% in online grocery sales<\/span><\/a><span style=\"font-weight: 400\"> one year into the pandemic and business owners stepped in to capitalize on pandemic-induced e-commerce opportunities.\u00a0<\/span><\/p>\n<p><i><span style=\"font-weight: 400\">But is the trend here to stay?\u00a0<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">\u201cThe pandemic permanently changed people\u2019s habits as it relates to delivery,\u201d says Lola Kassim, general manager of UberEats in Canada. <\/span><span style=\"font-weight: 400\">\u201cEveryone picked up this habit of getting food delivery a few nights a week; maybe getting their groceries delivered once or twice a week. What we\u2019re seeing is that even as the world starts moving again, people are keeping that new normal.\u201d\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">And the widespread adoption of e-commerce is not just limited to Canada (<\/span><i><span style=\"font-weight: 400\">or grocery shopping, for that matter!)<\/span><\/i><span style=\"font-weight: 400\"> According to The Census Bureau\u2019s <\/span><a href=\"https:\/\/www.census.gov\/library\/stories\/2022\/04\/ecommerce-sales-surged-during-pandemic.html#:~:text=More%20than%2020%20years%20later,to%20%24815.4%20billion%20in%202020.\"><span style=\"font-weight: 400\">2020 Annual Retail Trade Survey (ARTS)<\/span><\/a><span style=\"font-weight: 400\">, e-commerce sales in the United States increased by $244.2 billion or 43% in 2020, rising from $571.2 billion in 2019 to $815.4 billion in 2020. That\u2019s <\/span><i><span style=\"font-weight: 400\">staggering\u2026<\/span><\/i><span style=\"font-weight: 400\">and as the world slowly returns to normal, all signs suggest that people will continue to shop online, especially in the F&amp;B space.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Rapid delivery services have come to the fore and retailers have stepped up to provide speed, convenience, and affordability \u2013 something that\u2019s quite welcome in light of the rising food prices.\u00a0<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_71 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/tossdown.com\/blog\/the-growing-trend-of-online-grocery-shopping-explained\/#The_impact_of_rising_food_prices\" title=\"The impact of rising food prices\u00a0\">The impact of rising food prices\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/tossdown.com\/blog\/the-growing-trend-of-online-grocery-shopping-explained\/#What_does_this_mean_for_food_business_owners\" title=\"What does this mean for food business owners?\">What does this mean for food business owners?<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"The_impact_of_rising_food_prices\"><\/span><span style=\"font-weight: 400\">The impact of rising food prices\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">According to <\/span><a href=\"https:\/\/arrellfoodinstitute.ca\/wp-content\/uploads\/2022\/12\/30083-Food-Price-Report_Digital.pdf\"><span style=\"font-weight: 400\">Canada\u2019s Food Price Report<\/span><\/a><span style=\"font-weight: 400\">, food prices are expected to continue to increase in 2023. The forecast predicts that Canadian families are expected to pay an additional $1000 for food in 2023 than they did the previous year.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Prices of grocery items, including vegetables, meat, dairy, and bakery products are expected to see significant increases in the coming year. The cost of eating out or fine dining will rise as well due to rising food costs, rent increases, and ongoing labor challenges.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Rising geopolitical tensions, high fuel and transportation costs, and the depreciating Canadian dollar are mostly responsible for the predicted increases.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">\u201cConflicts in other parts of the world can impact food prices in Canada by restricting trade and exports and disrupting the supply chain,\u201d says Dr. Simon Somogyi, professor of business and economics. \u201cThe ongoing war in Ukraine has especially impacted the supply of wheat, fertilizer and sunflower oil, which is widely used in processed foods.\u201d\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_does_this_mean_for_food_business_owners\"><\/span><span style=\"font-weight: 400\">What does this mean for food business owners?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400\">How does this impact food businesses operating in the online space?<\/span><\/p>\n<p><span style=\"font-weight: 400\">The growing trend of online grocery shopping paired with the rising food prices presents a <\/span><a href=\"https:\/\/blog.tossdown.com\/how-an-online-store-can-boost-your-sales\/\"><span style=\"font-weight: 400\">unique opportunity for online food businesses<\/span><\/a><span style=\"font-weight: 400\">. Online businesses do not have any costly infrastructure. <\/span><span style=\"font-weight: 400\">Operating costs such as rent, utilities, and repair and maintenance are virtually non-existent since consumers don\u2019t have to be physically catered to. Moreover, with your brick-and-mortar business, you can only target a limited number of customers at one point in time. By reaching a larger audience, you can increase your sales by potentially unlocking an unlimited number of interested customers.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">High fuel prices also discourage customers from driving to places like grocery stores or shopping centers, which leads to an increase in e-commerce activity. <\/span><i><span style=\"font-weight: 400\">Again, excellent news for online food business owners<\/span><\/i><span style=\"font-weight: 400\">!\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">Note, however, that if fuel prices continue to rise and the company has done everything possible to cut overhead costs, eventually they\u2019d have to pass on that burden to consumers in the form of higher prices.\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The food and beverage (F&amp;B) industry has seen significant changes in the aftermath of the COVID-19 pandemic. With lockdowns and mandatory mask mandates in place, businesses and consumers increasingly \u201cwent digital\u201d,\u00a0 buying and selling more goods and services online. Canada alone saw a jump of 49% in online grocery sales one year into the pandemic [&hellip;]<\/p>\n","protected":false},"author":206,"featured_media":571,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":{"0":"post-566","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-blog"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The growing trend of online grocery shopping explained - tossdown<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/tossdown.com\/blog\/the-growing-trend-of-online-grocery-shopping-explained\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The growing trend of online grocery shopping explained - tossdown\" \/>\n<meta property=\"og:description\" content=\"The food and beverage (F&amp;B) industry has seen significant changes in the aftermath of the COVID-19 pandemic. With lockdowns and mandatory mask mandates in place, businesses and consumers increasingly \u201cwent digital\u201d,\u00a0 buying and selling more goods and services online. 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