NRF Show Highlights: Insights for Grocery Retailers

This year’s NRF Show was a whirlwind of innovation and connection.

Some of our biggest highlights: linking up and exhibiting with our team, connecting with valued retail customers, and meeting new folks in the world of retail pricing and category management. It’s energizing to share our passion for helping grocers thrive in this dynamic market.

Some of the key takeaways for grocery retailers focused on staying competitive: 

✧ E-Grocery is Booming: The online grocery market is surging. December 2024 sales surged 19% year-over-year, reaching $9.6 billion—the fifth straight month exceeding $9.5 billion. Ecommerce grocery is projected to grow 5% in 2025 (outpacing the overall grocery sector’s 1% growth), the opportunity is huge. Are you equipped to capture it?

Leveraging competitive intelligence is crucial for success in e-grocery. Having access to competitor pricing, promotion, assortment, and availability data gives you the visibility you need to optimize your strategies and stay ahead of the competition.

✧ Focusing on Value: It’s no surprise that shoppers are seeking value. “Value” encompasses more than just price. While 88% of shoppers express frustration with rising prices (making private labels and promotions crucial), convenience (like e-commerce and drive-thru) and a positive shopping experience (omnichannel integration and personalization) are also key components of perceived value.

Move beyond reacting to competitor prices and promotions. Take control of your strategy. Understand true customer value drivers, optimize promotions, streamline processes, and create a unified, omnichannel experience; build loyalty by delivering the total value package.

✧ Walmart’s Edge: Leveraging its vast store network for distribution and fulfillment, Walmart is leading the charge in online grocery sales, especially for non-perishable items. This calls attention to the importance of a physical presence for an effective online grocery strategy. 

✧ Omnichannel Strategies: The rise of digital grocery shopping prompts retailers to deliver a seamless omnichannel experience. Retailers must adopt complex distribution strategies across various platforms to meet growing convenience expectations. 

✧ Target’s Winning Formula: Investing in its people and fostering a strong company culture focused on care, growth, and teamwork is key to Target’s success. Their “Prepare for Next” leadership program, co-created with store directors, exemplifies this commitment to employee development. 

What This Means for Grocery Retailers: 

These insights from NRF offer valuable lessons for grocery retailers. Here’s how you can translate these trends into actionable strategies:

• Embrace Digital Transformation: Invest in technology and fulfillment options to capture the booming online grocery market. Use data to optimize every aspect of your business.

• Optimize Your Supply Chain: Utilize predictive analytics to create an efficient and synchronized ecosystem for seamless product delivery. 

• Focus on Customer Experience: Provide a seamless omnichannel experience that caters to convenience and delivers on value and brand values. Don’t forget that value extends beyond price.

• Empower Your Teams: Build a strong company culture that prioritizes employee development and growth. Equip your category managers, merchandisers, and pricing analysts with the tools and insights they need to make data-driven decisions. 

Your Partner in Retail Pricing

We’re passionate about solving grocery retailer’s biggest challenges. Our comprehensive suite of solutions empowers you to optimize pricing, promotions, and assortment for maximum impact.

• Competitive Intelligence: Stay ahead of the curve with comprehensive competitive intelligence. We capture data as frequently as you need it, from your key competitors, at the zip code level, giving you unparalleled visibility into the market.
• Price Optimization: Maximize your profitability with our advanced price optimization solutions. Leverage AI-powered recommendations, elasticity models, and demand forecasting to set the right prices at the right time.
• Promotion Optimization: Improve the effectiveness of your promotions with data-driven planning and execution. Optimize your promotional calendar and target the right customers with the right offers.

Let’s Talk: We’re here to help you optimize your pricing and promotions and compete more effectively. Reach out today to see your data in action!