Chicago — Today’s shoppers are putting more importance in saving time, effort and money, and are shifting shopping habits in pursuit of convenience and value, according to IRI. As a result, dollar channels and ecommerce have seen 1.4- and six-point increases, respectively, in penetration since 2016.
Joan Driggs, IRI’s vice-president of content and thought leadership, says: “Certain channels — such as dollar and ecommerce — provide stronger value propositions to customers, and are gaining shopper visits, while more traditional retail channels, such as mass market, supercenters, drug and grocery show declining visits. This suggests that, despite their confidence in the future, consumers are still focused on finding new ways to save.”
While value channels such as dollar and ecommerce have seen increased traffic during the past 4 years, traditional channels such as grocery and drug have seen decreases during the same period, IRI reports.
Driggs says that across the board, shoppers cite time and cost savings as key drivers of where they choose to shop, adding: “In particular, we found that heavy shoppers are being attracted to dollar retailers over competing channels, likely because they are looking for ways to save. We expect this will continue to negatively impact sectors like grocery and pharmacy, which have lost their ability to protect and cultivate their core shopper base.”