Growing Online Demand How Fresh Produce Suppliers Adapt
In the span of last few years – major developments have taken place in the world of e-commerce. There is a galore of products like: smart phones and DSLRs to clothing and footwear – all of it available to you – online!
With a few clicks and while you’re sitting at the comfort of your home, office – or even while you are commuting – you can select your favourite products, choose your method of payment and in a matter of few seconds, you are done – simply effortless! You save plenty of time and energy, versus making a visit to the local store or mall. Let us not forget the amazing discounts.
This form of customer service has completely revolutionised the landscape of shopping or purchasing products. Both the merchant and the consumer are happy. It is a perfect win-win situation.
Now, the very same model will apply to business owners – who are keen to reach out to their existing or new customers with their fresh produce.
If your business is all about supplying fresh and high quality fruits, vegetables and food items – there is a potential market – and you must take advantage of the growing online demand. It is challenging in the initial phase. However, there are numerous benefits in the long run.
Currently, there is a significant group of consumers who prefer to spend less time making the run for groceries or shopping – and pay more attention to their other commitments. From government offices and top restaurants to sports stadiums and numerous homes – you have a great opportunity to reach out to a large demographic with your fresh produce.
Put your products on the e-commerce shelf!
Take advantage of the demand for fresh produce
Rabobank analysts produced a report called – “Wanted: ‘E-daptable’ Fresh Produce Suppliers”. The report concentrated on fresh produce suppliers and the requirements for online sales – in Western Europe. Cindy van Rijswick is the author of the report. She mentions that the overall retail sales is flat in the Western European region. However, the online grocery sales are projected to double in the upcoming five years. In addition, you can expect an average annual growth of 14%.
It is estimated that the current share of online grocery sales is about 2% in Western Europe – according to food retail analyst IGD. Presently, it ranges from 1% in Germany to 5.7% in France and the United Kingdom. But, by 2030 – it is projected that the online grocery shopping may make up for about 25% of the total grocery sales.
A poll was conducted by Nielsen study – targeting internet users in 60 countries. 25% of 30,000 people bought groceries online and preferred to have them delivered to their doorstep. Moreover, in the future – it was interesting to note that 55% of the users are willing to order their groceries online.
Considering the traditional method, plenty of consumers preferred going to their local markets or stores to handpick their fruits and vegetables. However, the trend is changing and picking up – where groceries are delivered to their homes through meal-kit deliveries, regular supermarkets, or specialized online fresh produce suppliers.
Currently, 11.6% of all the organic food in the United Kingdom is sold online – according to a report from Britain’s Soil Association. This clearly shows that the online sale with regards to organic produce is seeing a lot of growth. It also mentioned that the investments in meal-kit delivery services are rising along with the demand for fresh produce. Additionally, according to the report – for suppliers there are plenty of opportunities when they choose to employ the right tools.
What are some of those opportunities?
- Expand to a larger shelf space
- Improve product descriptions by adding more relevant information
- Employ a shorter supply chain for the fresh produce
- Active screen management and
- Cross-merchandising opportunities
On another interesting note from the report was that Ocado (a UK-based online-only supermarket) – in its fresh produce selections – provides more than a thousand different items. Under their tomato section, they are offering 44 different kinds of choices.
In the future, you could notice suppliers adding more differentiating products to their online range like:
- Premium and niche products
- Thematic or seasonal products
- Theft-sensitive products
- Different packaging sizes
- Products will be targeted to specific customer groups like restaurants, hospitality industry, or child day care centres and many more
However, there will be certain challenges:
- Increase in the number of competitors
- Marketing budgets for the suppliers
- Changes related to impulse buying
- A constant need to be present on the prime listing with a wide range of other competing products
For certain fresh produce businesses and their online products – there is always be one challenge or apprehension they may face – or it does spark concern. According to Rabobank’s report it was found that the consumer will have a wish to smell, touch or try the fresh produce before they purchase it. However, this claim might be exaggerated. With rapid developments in e-commerce, customer service and quality products – there will be an increase in the number of consumers purchasing their fresh groceries online.
Simply Fresh Fruit reaches out to the hospitality industry
At Simply Fresh Fruit, our team has an extensive background and experience as fruit and vegetable wholesalers.
We are proud to mention that we have the ability and the resources to provide a wide range – and of the highest quality – fruits and vegetables to all of our customers. Furthermore, we are well known for our friendly and courteous service.
Our services are spread across an extensive region – in and around Metropolitan Melbourne. Our warehousing facilities are based out of Carrum Downs.
Every customer’s needs are different. From the most premium to the cheap and affordable fruits and vegetables – our customer-friendly and experienced team will make sure that all your specific needs are met.
Simply Fresh Fruit is a third-generation family-owned and operated business. This stands as a testimony – highlighting our years of commitment to providing you – with the highest quality and the freshest produce.
You can make an online order with us!
Considering the nature of our business, we avoid the normal fruit shop and supermarket stock rotation. This ensures that you receive the freshest fruits and vegetables. Subsequently, we help eliminate the problems like: over-handling by the staff and customers, bruising and refrigeration.
Currently, you can locate us at Melbourne Fruit and Vegetable Market in Epping. Additionally, we also operate from our warehouse at Carrum Downs. We always ensure that you receive the freshest produce directly from the farm – daily!
The team at Simply Fresh Fruit always pays close attention to environmentally-friendly practices. We carefully package your orders and reuse the boxes when we receive the fresh fruits and vegetables. In addition, if you cannot dispose the boxes – on your next delivery, our team will pick them up for you.
Staying way ahead of the trend
A US fact-based research and consulting firm conducted a study focusing on food related products and services. The study found out that 58% of the consumers pay attention and give importance to eating healthy and nutritious food.
As you have noticed – there is plenty of demand for fresh produce. Subsequently, the faster you put out your products on the virtual shelf – you will notice better results for your business.
Additionally, as long as the supply of your fruits and vegetables remain fresh along with quality customer service – you can expect your repeat customers. With the strong nature of ‘word of mouth’ – you will have plenty of new customers joining your bandwagon!