Aldi tests shoppers’ appetite with online grocery delivery

Sylvia Jeanes
Shopper Insight Manager
@IGDShopperNews

Date : 26 May 2020

This week Aldi started a trial of a rapid delivery service with Deliveroo from its Daleside Road store in Nottingham. If successful, the service will be rolled out to a further seven stores in the East Midlands in June and all stores by the end of 2020.

Aldi’s expansion into grocery delivery comes as supermarkets turn to a variety of new ideas to get food to people’s homes amid a surge in demand during the pandemic.
Shoppers habits have inevitably changed during this unusual time with increased demand for online. In March’2020, our ShopperVista research showed that 7% of British shoppers mainly used online for the majority of their food and grocery shopping rising to 10% in April’2020.

Increased shopper demand for online

Many of the big four supermarkets have ramped up their delivery capacity to accommodate the increased demand. Our ShopperVista research revealed that the appetite for online shopping has never been higher with 56% of shoppers claiming to have bought more food and groceries online in the last month (ShopperVista 24-26th April’2020), however, 47% of shoppers have found it difficult to book a delivery or collection slot in April’2020 and many have had difficulties shopping online (four in ten have tried to shop online but have been unable to book a delivery or collection slot).

Interestingly, we have seen a healthy number of shoppers who have tried online shopping for the first time, ‘13% have tried online food and grocery shopping for the first time in the last month’ (24th-26th April’2020), with notable increases in older age groups trialling online shopping for the first time.

Alternative routes to market

In response to this unprecedented demand we have seen a number of retailers introduce online food box schemes to be delivered to shoppers’ doors. In April, Aldi launched a grocery essentials parcel, containing 22 essential items for £24.99 designed to help vulnerable shoppers and those self isolating. As shoppers have had difficulty booking online delivery slots we have seen approaches to online shopping changing rapidly with a quarter (26%) of shoppers in April’2020 trying alternative routes to buying food and groceries, such as farm shops or vegetable delivery boxes (24th-26th April’2020).

Catering to savvy shoppers

With the UK on the brink of a recession we are seeing shoppers increasingly concerned over their household finances with 43% of shoppers expecting to be financially worse off in the year ahead (1-9th May’2020) compared to 25% in January’2020 and food discount shoppers are more likely than average to expect to concerned about their financial outlook (49% of food discount shoppers- 1-9th May’2020).

Helping to save money is the standout driver of store choice for food discount shoppers (79% - Jan-Mar’2020) compared to 43% for all shoppers. But as shoppers purse strings are tightened further and food discounters like Aldi and Lidl evolve their ecommerce proposition it will be interesting to see how this relationship with shoppers develops.

If you have any questions or comments at this time please do contact us at [email protected]

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