By: Tom Duffy, Senior Advisor, Nonfoods Community Development, FMI
Why Does it Matter?
Nonfoods are a growing opportunity for grocery retailers to increase sales and build customer loyalty. Products like household goods, personal care items and pet supplies are no longer afterthoughts — they're essential parts of the grocery shopping experience. It's crucial to understand how customers shop for these items and adapt your strategies to meet their needs.
Nonfoods shopping behaviors reveal valuable insights into customer preferences, decision-making processes and potential cross-category opportunities. By tapping into these insights, retailers can create a seamless shopping experience that drives incremental sales and strengthens brand loyalty.
Unlocking Shopper Habits
Key factors influencing nonfoods shopping behaviors shape how customers choose and purchase items beyond traditional grocery categories.
- Convenience: Shoppers often prefer to purchase food and nonfoods in a single trip.
- Value Perception: Competitive pricing and promotions play a significant role in decision-making.
- Cross-Category Shopping: Customers may bundle nonfoods items with food purchases for specific occasions, like family dinners or pet care.
Understanding these behaviors helps retailers position nonfoods items strategically, ensuring they complement the overall shopping experience.
Reasons to Explore Nonfoods Shopping Behaviors
- Increased Basket Size: Adding nonfoods to grocery trips increases overall transaction value.
- Customer Retention: Meeting nonfoods needs enhances convenience and encourages repeat visits.
- Cross-Selling Opportunities: Pairing food and nonfoods items creates unique value propositions for shoppers.
Step-by-Step Guide
- Analyze Shopper Data: Leverage loyalty programs and analytics tools to study how customers interact with nonfoods categories. Identify trends, such as popular product combinations or peak purchasing times.
- Optimize Assortment and Placement: Review your nonfoods product mix to ensure it aligns with customer needs. Position high-demand items near related food products to encourage cross-category sales.
- Focus on Promotions and Bundles: Develop targeted promotions that combine food and nonfoods items. For example, offer discounts on cleaning supplies with meal kits or pet treats with fresh produce.
- Leverage In-Store and Online Channels: Ensure that nonfoods are prominently displayed both in-store and online. Use digital marketing tools to highlight deals and suggest complementary purchases.
- Train Staff on Cross-Selling: Equip your team with the knowledge to suggest nonfoods during customer interactions, enhancing the shopping experience while boosting sales.
Key Considerations for Success
- Customer Preferences: Stay attuned to evolving consumer demands to ensure your nonfoods offerings remain relevant.
- Strategic Placement: Thoughtful product placement can significantly influence purchase decisions.
- Digital Integration: Ensure your online platforms support seamless browsing and purchasing of nonfoods.
Nonfoods shopping behaviors provide grocery retailers with a valuable opportunity to drive growth and create a more holistic shopping experience. By understanding these behaviors and aligning your strategies accordingly, you can more effectively meet customer needs while boosting your bottom line.
Take the next step by watching the free digital seminar, "Exploring Nonfoods Shopping Behaviors in Grocery Retail." You'll gain actionable insights and strategies to help you adapt to nonfoods shopping trends and maximize cross-category opportunities. Don't miss this chance to elevate your retail approach and unlock new avenues for growth!