1. E-SHOP & MARKET
SEGMENTS
Task A
Kay Soon Lightz Ong
08975921

2. What is it?
ONLINE SHOPPING FOR
GROCERIES
How it works?
Why it works?
Long term
implications

3. The online grocery market is defined to include the online sales of
food and drink for in-home consumption, including store-based
groceries sales online, food and drink specialist retailers’ online
sales, online-based grocers’ sales and online-based food box
delivery schemes.
DEFINITION
ONLINE SHOPPING FOR GROCERIES

4. Tuesday, 28 October 2008
Online grocery shopping overtakes
sales of electronic goods
Online grocery shopping has overtaken internet sales of electronic items for the first time,
new figures show.
The "top four" online shopping sectors are currently grocery (31 per cent), electronic items
such as computers, televisions and gadgets (25 per cent), clothing and fashion items (21
per cent) and holidays (15 per cent).
A study of 4,238 consumers by the website found 44.2 per cent shopped at Tesco, 23.2
per cent at Asda and 11.7 per cent at Sainsbury's.

5. ONLINE GROCERY PROVIDERS

asda.co.uk

tesco.co.uk

sainsbury.co.uk

ocado.co.uk

waitrose.com

britishcornershop.co.uk
Specialised worldwide delivery

6. 3%-6% in 2006 8%-11% in 2009

10. THE SHOPPING
INTERFACE

11. Shopping Account

12. Most online groceries
provider would provide
a guide to help the
consumer ease his way
through the online
order.
Usually starts with booking
a delivery slot that will be
held for 2-3 hours while
you shop.

13. DELIVERY CHARGES
Average £3.00 - £6.00

14. Shopping List
For easier shopping when you
already know what you need.

15. VALUE FOR MONEY
LONG TERM IMPLICATIONS
SIGNIFICANT FACTORS

16. VALUE FOR
MONEY
 Delivery Costs
 Tesco £3.00- £6.00
 Asda £3.50- £6.50
 Sainsbury £3.50- £5.50
 Bus
 Single £1.50- £2.50
 Daysaver £3.50 - £4.50
 Big Orders
 Inconvenient to take bus
 Small Orders
 Corner store/Local store

17. LONG TERM IMPLICATIONS
 Reduced Shoppers in
Stores
 Social aspects
 Less Physical Stores
 Less overhead costs
 Lower Employment Rate
 Cashiers
 Security
 Cleaners

18. SIGNIFICANT FACTORS
 UK online grocery market
 Estimated 4.4billion in 2009
 134% growth over 2005-2009
 Food inflation

19. SIGNIFICANT FACTORS
 Location
 Rural Areas
 City Centres
 Targets
 Elderly
 Busy Professionals
 Shopping pattern monitoring
 Knowing what people need and want

20. THE END
QUESTIONS?