Fulfillment Prophecy
Progressive Grocer|December 2020
AS RETAILERS RING IN THE NEW YEAR, THEY’RE LASER-FOCUSED ON E-COMMERCE LOGISTICS.
Jenny McTaggart
Fulfillment Prophecy

Key Takeaways

Amid a global pandemic that led many shoppers to order groceries online, many leading grocery operators are ramping up e-commerce fulfillment strategies that were already underway but now seem more urgent than ever.

Expect to see more grocers tapping into the intelligence of technology companies, specifically regarding automation and artificial intelligence, while also rolling out more micro-fulfillment centers to get products to shoppers more quickly and efficiently.

Technologies such as robots and autonomous delivery via car or even drone are still being tweaked as e-commerce solutions, but should eventually be adopted more broadly by the grocery industry.

As the world ushers in 2021, hoping for brighter days ahead, many grocery retailers will be testing and rolling out new supplychain strategies and technologies to enhance their e-commerce fulfillment and logistics.

In 2020, the COVID-19 pandemic resulted in an unprecedented use of online ordering in the United States, and the trend is expected to continue into the new year — especially as the virus continues spreading throughout the country, making online ordering preferable to many shoppers. The e-commerce adoption numbers are astounding: The percentage of online sales skyrocketed from a humble 2%-3% of total grocery sales pre-pandemic to an eye-opening 10%-15% in the past year. A number of publicly traded companies have wowed investors with the double-digit growth in online sales that they’ve reported recently in quarterly earnings.

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