Omni-channel is the new shopper reality. And while manufacturers are adapting their shopper marketing to it, the next big challenge is the route to market (RTM).
Route to market can be defined as the path of goods from manufacturer to shopper and the flow of money from the shopper to the manufacturer.
According to a 2018 study by National Public Radio (NPR) and Marist, 69% of U.S. adults made an online purchase at least a few times during the last year, and 43% made an online purchase at least once a month. When starting the shopper journey for online purchases, e-retailers like Amazon have a clear lead. Forty-four percent of online shoppers start their journey with Amazon, and 33% start on search engines such as Google. Large retailers (such as Walmart or Target), brand websites and online marketplaces (eBay or Etsy) have significantly less importance as a shopper journey starting point; just 10%, 6% and 5% of shoppers begin their journeys there, respectively.
Groceries are purchased online far less than other categories of goods, such as electronics or books, with important differences between countries, as revealed by PwC’s Global Consumer Insights Survey of 2018. In the U.S. and Canada, the probability that respondents would buy groceries online in the next year was found to be 15% and 8%, respectively, according to the report. In the U.K., this probability is 32%, and in China, it’s 59%.