Channel Shifting & Shopping Behavior Trends
Retail loyalty is disappearing. Consumers no longer rely on a single retailer for their grocery needs. E-commerce, club, and discount retailers are rapidly gaining share, forcing brands to rethink their channel strategies.
How Shopping Behavior is Changing:
📉 Grocery Foot Traffic is Down - Consumers are splitting trips between mass, club, and online.
📦 E-commerce & Subscription Growth - Many now buy pantry staples online, reducing impulse purchases.
🏬 Club & Value Stores Are Gaining Share - Bulk buying and price sensitivity make retailers like Costco and Aldi more attractive.
📌 Client Success: A frozen food brand was struggling with declining velocity in grocery. Instead of doubling down on promotions, we analyzed channel shifts and saw their core shopper was migrating to club stores for bulk purchases. By repositioning their offering in larger pack sizes, they secured a national club launch, offsetting their grocery losses. A brand within active nutrition wanted to gain more knowledge into entering a new category and needed to identify the story to support their overall objectives. Using syndicated data, we analyzed market share to find category leaders, penetration to see which brands were attracting new buyers and frequency to uncover who had the most repeat purchases. On top of creating an impactful selling story, we also looked into optimizing their pricing strategy and promotional cadence plus understanding the competitive landscape. They now have a game plan on how they are going enter this new category with the right amount of data to support their story.
💡 Key Takeaway: The retail landscape is more fragmented than ever. Brands that continue to track where their shopper is going, adjusting their strategy to meet the shopper where they are will stay ahead.
How has channel shifting impacted your business? I would love to hear what's working and what's not and how you're adjusting your strategy. Schedule a Call.
