Retailers leveraging AI-powered connected retail strategies can unlock an impressive 8% growth in e-commerce revenue, according to SymphonyAI’s latest grocery e-commerce study.
The comprehensive analysis, based on 1.3 billion transactions from 72 million households over six months, highlights how advanced shopper insights are reshaping the retail landscape.
Key findings reveal that e-commerce is becoming a cornerstone of grocery growth. Online shoppers spend significantly more, with average basket sizes three times larger than in-store purchases. Notably, 81% of new online customers are first-time shoppers with the retailer.
The study also shows the pivotal role of omnichannel strategies. Shoppers who engage across both online and in-store channels spend 15% more than single-channel customers. The Q4 presents a golden opportunity, with in-store holiday shoppers showing more willingness to explore online channels. Successfully converting and retaining these shoppers post-holidays can lead to a 3% increase in annual e-commerce revenue.
“The newest research from our in-house retail experts reveals the advantages of using AI insights to increase e-commerce revenue, both in the short-term and longer term. They apply SymphonyAI connected retail with surgical precision to create powerful positive business impact,” said Sonia Parekh, general manager of Customer-Centric Retailing for SymphonyAI.
AI insights extend beyond channel engagement, revealing granular preferences that can shape targeted merchandising strategies. For instance, online shoppers show a marked preference for larger pack sizes in certain categories, such as peanut butter, while favouring smaller sizes for items like jam and honey. Similarly, category-specific trends show e-commerce shoppers’ greater brand loyalty in health, beauty, and snack products compared to in-store customers.
Convenience also emerges as a growth driver. Small basket transactions, particularly in categories like alcoholic beverages and baby products, are on the rise. AI-powered product recommendations tailored to these shopping patterns can further increase basket size and loyalty.