Tuesday, July 16, 2013

The Modern Way of Buying Groceries

                After learning about the benefits of home grocery delivery, I have concluded that in the near future, people will want to do more shopping online whether they are purchasing perishable or non-perishable foods.  People are looking to simplify their lives and if this is one step closer in doing so, then they might add groceries to their list of items being delivered. This is the logic behind Amazon, the largest online retailer today. Amazon’s biggest delivery items are books, clothing, and electronics. I personally have found how easy it is to order Christmas gifts online and never have to wait in line. I have learned that people are focused on convenience when it comes to shopping, which I believe plays a big part in today’s society.

                In general when you need to go grocery shopping, you need to get in your car, use fuel, shop through the aisles, wait in line to checkout, load the car, drive home, and unload the car.  If you do your shopping online, you turn a computer on, search the website, click the product, find a delivery time that works for you, and push send.  It is that easy. I believe people have adapted themselves with the internet and companies continue to make ordering online easier for the consumer. I have ordered non-perishables items online in the past and found that once you know what websites are most convenient to use, it is simple to order. I would have liked the opportunity to try grocery shopping online for a month and give you my opinion but unfortunately our town does not have this type of service yet. 

                One article I found interesting while doing my research was from Midsize Insider where author Bradford claimed that AmazonFresh has arranged to have its fresh items delivered by local food companies.  I believe if more of the larger market based stores attract the smaller ones in arranging these fresh food items to be delivered, it will be a win-win relationship for both types of companies.  I also found the article from Business Insider interesting bercause Edwards informs us that Amazon might be adding refrigeration to its distribution centers. I could not believe the size of the AmazonFresh warehouse which stored over 22,000 brands. 

                I found a recent article titled, “New E-Commerce Strategies Threaten UPS, FedEx” which was published in the HuffingtonPost. The author, Alistair Barr, informs us that, “in 2011, Amazon changed its fulfillment strategy and began building new distribution warehouses closer to large, heavily populated areas such as Los Angeles and San Francisco. Amazon.com Inc is building its distribution warehouses closer to customers to save millions of dollars in shipping costs.” Amazon sounds like it will be focusing on shipping costs to help the consumer when money is an issue.  Barr also claims that, “The world's largest online retailer is also increasingly using its own delivery trucks, cutting UPS and FedEx out of some parts of its fulfillment network.” This does not sound too good for UPS and FedEx because Amazon is cutting out the middle man. It will be worth watching how this unfolds as Amazon brings AmazonFresh into two more major cities.  

                I still have questions about the types of people that online grocery shopping could benefit from? The last time I was in downtown Chicago, I noticed an online grocery delivery service van, PeaPod. The delivery truck was parked outside an apartment building.  Maybe the customer did not have a car, they were elderly or they just liked the convenience of shopping for their groceries online. Also, I still want to compare price points and monthly or annual fees that are associated with this type of shopping.  Do people weigh out the savings when there is a membership fee involved when shopping for bulk item stores like Sam’s Club or Costco where there is no delivery?

                I believe people would be more health conscious when they pick and choose only the items they need instead of a display rack at a grocery store that screams “buy me”.  By not buying frivolous food items that you did not want in the first place and focus on the items that you really need, will save you money in the long run. As a mother, I want to make dinner for my family and not have to worry about what to make. With this in mind, I will wait for a delivery grocery service to come to my town and enjoy the convenience of this service.
Image of family eating dinner         Google
 
 

Work Cited:       

Bradford, Contel “Amazon Expanding Prime Service with Grocery Offerings” Midsize Insider (2013) Web. 10 July 2013. http://midsizeinsider.com/en-us/article/amazon-expanding-prime-service-with-groc

Allistair, Barr “New E-Commerce Strategies Threaten UPS, FedEx” Huffington Post (2013) Web. 16 Jul 2013. http://www.huffingtonpost.com/2013/07/14/e-commerce-ups-fedex-threat_n_3594324.html

 

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