Survey: Price on a purchase-influence downswing
Other factors are starting to outshine price when it comes to influencing purchase decisions.
The importance of the shopping experience has doubled year-over-year. and the need for variety and speed of fulfillment options also grew, according to “2018 Consumer Trends Report — Engaging the Informed Consumer,” from Kibo.
According to the survey, price is still the top factor influencing purchase decisions for 61% of survey participants, however that percentage is down by more than 12.8% compared with last year. Customers are looking for additional value, including extensive content on branded manufacturer websites, suggesting that product images, videos, reviews, detailed specifications, comparison guides, and other consideration tools are all apt investments.
Buy-online-pickup-in-store is now considered a mainstream offering, with 67% of survey participants having used it in the past six months. Furthermore, shoppers widely recognize that BOPIS offers not only free order fulfillment, but also a degree of flexibility and control not available via home delivery. The ability to inspect items in the store before taking them home was the BOPIS benefit whose importance grew the most year over year, suggesting that stores’ tactile experiences are important brand assets.
Shoppers are also more willing to engage store associates for assistance finding items, with 57% of respondents reporting they’ve done so — an 18.75% increase from 2017. More than two-thirds of respondents said they expected those associates to have access to their order histories, suggesting expectations are high for knowledgeable interactions that draw on shoppers’ past interactions across touchpoints.
Inventory access and availability also remain crucial, with more than half of survey participants reporting that they expect a manufacturer’s site to have items in-stock. Meanwhile, 45% believe they’ll find a greater variety of products available, and 40% believe manufacturers will have more items than retailers.
“As merchants struggle to thrive in the era of Amazon and increasingly look for ways to engage consumers, the key is to understand what factors influence a consumer’s buying behavior,” says Tushar Patel, CMO, Kibo. “It is increasingly clear that while having fair and consistent pricing on all channels is extremely important, merchants have an incredible opportunity to engage shoppers with seamless experiences that include, but are not limited to, flexible fulfillment options like buy online, pickup in store.”
Raley’s buys 6 Nevada stores from Scolari’s Food & Drug
Family-owned grocer Raley’s has acquired six new stores in northern Nevada, the company announced Friday. The purchase from Scolari’s Food & Drug includes five stores under the eponymous banner that will be transferred to the Raley’s banner and one Sak ’N Save that will maintain its name and operate as part of the Raley’s food source division.
“I am pleased that Raley’s will reach and serve even more customers,” Raley’s chairman and CEO Michael Teel said. “Making healthy and affordable food available to more people aligns with our purpose to infuse life with health and happiness, by changing the way the world eats, one plate at a time.”
Raley’s adds these locations to its existing 14 locations in Nevada that include 11 Raley’s banners, one Food Source store and two Aisle One fuel stations.
“We expect to build on the existing customer base by offering even more products and categories at a price that is affordable,” Raley’s president Keith Knopf said. “The Raley’s team will actively listen to customers, and we look forward to learning what the customers want and need from us. We take seriously the stewardship passed to us by the Scolari’s family and will work to preserve the positive impact they have created.”
Raley’s said that more details about the purchase would be shared at a later date. It said it expects the conversions to be complete by late spring.
“With complementary markets and strong family values, we believe Raley’s was the right partner to assume the operation of the six locations of our family business,” Joey Scolari, CEO of Scolari’s Food & Drug, said. “We are confident our customers and employees will be served well under the stewardship of the Raley’s organization.”
The following stores are included in the purchase:
- Scolari’s Food & Drug: 3310 South McCarran Boulevard, Reno, Nev.;
- Scolari’s Food & Drug: 4788 Caughlin Parkway, Reno, Nev.;
- Scolari’s Food & Drug: 1400 US Highway 95A North, Fernley, Nev.;
- Scolari’s Food & Drug: 176 West Goldfield Avenue, Yerington, Nev.;
- Scolari’s Food & Drug: Hwy 95 – Air Force Road, Tonopah, Nev.; and
- Sak ‘N Save: 1901 Silverada Boulevard, Reno, Nev.
Walgreens buys Rx files from 10 Pyramid Foods stores
Pyramid Foods on Monday announced the sale of 10 pharmacies to Walgreens in the form of prescription files. The pharmacies, operating under the company’s Price Cutter banners, primarily operated in the Springfield, Mo., markets.
The Pyramid Foods pharmacy at 3260 East Battlefield will remain open.
The pharmacies are being jettisoned in an effort to keep the grocer competitive through investments in click and collect and home delivery, as well as creating space for new value-add retail services within its supermarket box.
“This allows Pyramid Foods to enhance market offerings with other services,” the company stated. “Updated concepts include rolling out curbside pickup, online home shopping and selected delivery by June 1, 2018 as well as adding UPS shipping centers, dry cleaning and other services in the future.”
While the grocer may be pulling out of the pharmacy business, the chain still is growing. “Pyramid Foods is expanding its rural pharmacy footprint [across Missouri] into Lebanon, Purdy, Neosho and Branson,” the company stated. “Additional locations are also being considered.”