Grocers View AI as the Key to Reaching their Sustainability Goals, but Less than Half Regard their Current Use of Technology as Effective

Grocery Doppio's Sustainability in Grocery report reveals schism between grocers' sustainability goals
and their ability to execute; Limits in budget, technology expertise, and strategic direction are key obstacles.

NEW YORK and MIAMI, Oct. 23, 2023 /PRNewswire/ -- Incisiv, a next-generation industry insights firm that helps retailers and brands navigate digital disruption, and Wynshop, the leading provider of digital commerce and fulfillment solutions for local store-based retailers, today revealed the findings from the Grocery Doppio report Sustainability in Grocery: Progress Through Technology. Based on a survey of 841 shoppers and 173 senior grocery executives, the report reveals a high degree of interest in sustainability on both sides of the cash register, as well as a belief that technology plays a critical role in helping to achieve sustainable grocery goals:

• 73% of shoppers say that they prefer to buy from grocers who have clear sustainability practices.
• 78% of grocers believe that sustainable practices will help them differentiate from the competition.
• 83% of grocers rate technology as vital to sustainability, while 87% believe AI can help meet sustainability goals.

However, only 41% of grocers say that they are currently leveraging technology effectively to improve sustainability, citing budget limitations, limited expertise, and lack of strategic direction as the top three factors holding them back.

More key findings from "Sustainability in Grocery: Progress Through Technology" report include:

• Shoppers demand sustainability, but expect grocers to bear the cost
  • Shoppers seek sustainable practices in transparency (86%), product selection (79%), and packaging (63%)
  • Shoppers regard produce (83%), dairy and eggs (81%), and meat (74%) as key areas of sustainability impact
  • Only 13% of shoppers are willing to pay a premium for sustainability, however
• Grocers see sustainability as a path to connect with Gen Z and reduce operating expenses
  • Grocers feel that sustainable practices will attract more Gen Z shoppers (83%) and store associates (71%)
  • 54% of grocers believe that sustainable practices will reduce their operating expenses in the future, through use cases like inventory waste reduction, transportation optimization, and reduction of energy usage.

The report also includes an analysis of 21 sustainability use cases where AI can make an impact, from demand forecasting and ethical sourcing to cold chain monitoring and packaging reduction.

"From the perspective of both consumer demand and emerging regulatory compliance, grocers are motivated to improve their sustainability practices," said Gaurav Pant, Chief Insights Officer of both Incisiv and Grocery Doppio. "However, they are grappling with ambiguous standards, an unresolved knowledge gap, and an unclear path to ROI, amidst challenging economic conditions."

"Grocers are in agreement that AI and other technologies are critical to meeting the sustainability challenge and to reducing operating expenses," added Charlie Kaplan, Chief Revenue Officer at Wynshop. "But the industry still needs more awareness of specialized technology solutions for many use cases, and a unified strategy to help them meet sustainable goals profitably."

The Sustainability in Grocery: Progress Through Technology report is one of many resources available on Grocery Doppio. Grocery Doppio is a free, independent source of grocery insights and data designed to help grocers jumpstart, accelerate, and sustain digital growth. Grocery Doppio brings together research-driven grocery content, fact-based observations, and industry expert perspectives, to deliver a monthly performance scorecard that identifies improvement opportunities for grocery retailers. 

To download Grocery Doppio's "Sustainability in Grocery: Progress Through Technology," click here.

On Thursday, October 26 at 12PM ET, Incisiv and Wynshop will be hosting a webinar to discuss the Sustainability in Grocery: Progress Through Technology report findings, as well as the Q3 2023 Performance Scorecard together with Doug Baker, VP of Industry Relations at FMI. Click here to register.

About Incisiv 
Incisiv is a next-generation industry insights firm that helps retailers and brands navigate digital disruption in their industry. Incisiv offers consumer industry executives responsible for digital transformation a trusted platform to share and learn in a non-competitive setting, and the tools necessary to improve digital maturity, impact, and profitability. More information is available at www.incisiv.com.

About Wynshop
Wynshop is an ambitious team of digital innovators obsessed with a solitary mission—helping grocers and other local store-based retailers grow wildly successful online businesses. Its refreshingly easy-to-use digital commerce platform enables efficient in-house picking, reduces fulfillment costs, and gives retailers the ability to control every facet of their customers' digital shopping experience. This results in a more personalized customer journey and amplified shopper loyalty. Learn more at www.wynshop.com.

Media Contact:
Laurel Getz
[email protected]
203.767.5963

SOURCE Wynshop