Summary
The grocery landscape is changing, with one of the largest shifts occurring among center store categories where declines are driven by an increasing preference for fresh products, typically located around the perimeter of stores. The traditional grocery store model and layout are at risk as online grocery increases in popularity and consumers crave more of an experience instead of just a product.
In this Executive Insights, L.E.K. describes the customer journey that grocers must acknowledge in order to combat decreasing foot traffic in stores. L.E.K. believes that grocers must take a broader view in building winning grocery strategies by assessing consumer needs in the context of different customer experiences. We recommend:
- Rethinking the store layout
- Merchandising and marketing solutions, not products
- Eliminating wasteful inventory investment
- Providing valued services
It’s not just about the product. Adapting to different experiences through a customer journey strategy is imperative to sustaining a customer base. The center store isn’t so traditional anymore.
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