VTEX: friction in online groceries experience stops brands from capturing loyalty and long-term spend

While 71% of US consumers shop for groceries online at least occasionally, friction in the experience is preventing brands from fully capturing loyalty and long-term spend, according to research by VTEX. 

The company surveyed 1,000 Americans to uncover the expectations driving digital grocery behaviour in 2025, and where retailers are still falling short. Key findings include:

• Consumers trust grocers’ digital channels over third parties: 52% shop via grocers’ own apps or websites, compared to just 27% using national delivery apps.

• Shoppers are already digital - just not fully converted: 69% of respondents shop online for groceries at least occasionally, and 30% do up to a quarter of all grocery shopping online.

• Price and fees remain major deterrents: 54% cite service fees as a major deterrent, and 49% are discouraged by unexpected costs at checkout.

• Loyalty lives online: 79% of shoppers use loyalty or rewards programmes, and nearly half prefer digital versions.

• Personaliation is expected: 65% are interested in personalised online grocery experiences based on their needs or history.

“The modern grocery shopper expects the same ease, clarity, and control online that they’ve always experienced in-store,” says Daniela Jurado, EVP of North America at VTEX. “The challenge, and opportunity, for grocers is to eliminate friction without adding operational complexity.”

“Grocers can’t afford to treat e-commerce as an add-on. When consumers prefer your website over third-party marketplace apps and want a more personalised journey, that’s your opportunity to own the experience. Unified commerce is how you deliver it at scale, and without complexity.”

2025 RTIH INNOVATION AWARDS

Grocery retail will be a key focus area at the 2025 RTIH Innovation Awards.

The awards, which are now open for entries, celebrate global tech innovation in a fast moving omnichannel world.

Our 2024 hall of fame entrants were revealed during an event which took place at RIBA’s 66 Portland Place HQ in Central London on 21st November, and consisted of a drinks reception, three course meal, and awards ceremony presided over by comedian Lucy Porter.

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “The event is now into its sixth year and what a journey it has been. The awards started life as an online only affair during the Covid outbreak, before launching as a small scale in real life event and growing year on year to the point where we’re now selling out this fine, historic venue.”

He added: “Congratulations to all of our finalists. Many submissions did not make it through to the final stage, and getting to this point is no mean feat. Checkout-free stores, automated supply chains, immersive experiences, on-demand delivery, next generation loyalty offerings, inclusive retail, green technology. We’ve got all the cool stuff covered this evening.”

“But just importantly we’ve got lots of great examples of companies taking innovative tech and making it usable in everyday operations - resulting in more efficiency and profitability in all areas.”

Congratulations to our 2024 winners, and a big thank you to our sponsors, judging panel, the legend that is Lucy Porter, and all those who attended November's gathering. 

For further information on the 2025 RTIH Innovation Awards, please fill in the below form and we will get back to you asap.