Journal Express, Knoxville, IA

Community News Network

June 11, 2013

Consumers' desire for local, organic food drives online grocery business

Just a few years ago, consumers who were fervent about eating locally-grown and organic foods had to head out to the nearest Whole Foods or farmers market.

Now all it takes is a few swipes of the mouse at an online grocer like Door to Door Organics, Relay Foods or AmazonFresh, which last week confirmed it was beginning to roll out its online shopping product beyond its home base of Seattle, opening operations in Los Angeles.

"Quick, easy and affordable doesn't have to mean highly processed," said Cambria Vaccaro, vice president of marketing for Colorado-based Door to Door Organics. "Every family can start making good food choices -- easily. In fact, 90 percent of the people who shop with us, say they eat more fruits and veggies, 88 percent say they’re doing a better job of supporting local, 88 percent say they feel healthier and 83 percent say it’s more convenient that other shopping options."

The boom in online grocery shopping has gone largely unnoticed by most consumers. That changes quickly, however, as entrepreneurial vendors spring up in new markets and word-of-mouth promotion attracts new shoppers.

In interviews with ConsumerAffairs, Vaccaro said her company has grown more than 800 percent in the last four years and expects to exceed that growth rate as it opens new markets and more fully develops existing ones while RelayFoods president and co-founder Arnie Katz is equally bullish about his firm's prospects.

"Our view is that in a decade over 25 to 50 percent of grocery purchases will be done online," Katz said. "The future doesn’t happen, doesn't happen, doesn't happen ... then it happens all at once. We are approaching that day. We think it will happen within the next two years."

Both agree that online grocers aren't expecting to completely eliminate traditional brick-and-mortar stores, although even shoppers who continue to travel to physical stores are increasingly using technology to improve the process. A new study from KSC Kreate finds that more than half (52 percent) of grocery shoppers visit a store's web or mobile site prior to shopping; in addition one-third are using mobile devices while in-store. It's not a stretch to say those shoppers are one click away from moving the entire experience online.

Business models vary

Text Only
Community News Network
Features
AP Video
UN Security Council Calls for Gaza Cease-fire Traditional African Dishes Teach Healthy Eating The Carbon Trap: US Exports Global Warming 13 Struck by Lightning on Calif. Beach Baseball Hall of Famers Inducted Raw: Sea Turtle Hatchlings Emerge From Nest Raw: Shipwrecked Concordia Completes Last Voyage US Evacuates Embassy in Libya Amid Clashes Raw: Massive Dust Storm Covers Phoenix Raw: Israel, Palestine Supporters Rally in US Obama Asks Central American Leaders for Help Virginia Governor Tours Tornado Aftermath Kerry: No Deal Yet on 7-Day Gaza Truce Kangaroo Goes Missing in Oklahoma Judge Faces Heat Over Offer to Help Migrant Kids Raw: Deadly Tornado Hits Virginia Campground Ohio State Marching Band Chief Fired After Probe Raw: Big Rig Stuck in Illinois Swamp Obama Advisor Skips House Hearing Power to Be Restored After Wash. Wildfire
Facebook
Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide
Poll

Upon completion and reopening of Third Street, should the City of Knoxville wait to start the next stage of the Streetscape and Infrastructure project until 2015?

Yes
No
     View Results