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Kay EShop

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Kay EShop

  1. 1. E-SHOP & MARKET SEGMENTS Task A Kay Soon Lightz Ong 08975921
  2. 2. What is it? ONLINE SHOPPING FOR GROCERIES How it works? Why it works? Long term implications
  3. 3. The online grocery market is defined to include the online sales of food and drink for in-home consumption, including store-based groceries sales online, food and drink specialist retailers’ online sales, online-based grocers’ sales and online-based food box delivery schemes. DEFINITION ONLINE SHOPPING FOR GROCERIES
  4. 4. Tuesday, 28 October 2008 Online grocery shopping overtakes sales of electronic goods Online grocery shopping has overtaken internet sales of electronic items for the first time, new figures show. The "top four" online shopping sectors are currently grocery (31 per cent), electronic items such as computers, televisions and gadgets (25 per cent), clothing and fashion items (21 per cent) and holidays (15 per cent). A study of 4,238 consumers by the website found 44.2 per cent shopped at Tesco, 23.2 per cent at Asda and 11.7 per cent at Sainsbury's.
  5. 5. ONLINE GROCERY PROVIDERS  asda.co.uk  tesco.co.uk  sainsbury.co.uk  ocado.co.uk  waitrose.com  britishcornershop.co.uk Specialised worldwide delivery
  6. 6. 3%-6% in 2006 8%-11% in 2009
  7. 7. THE SHOPPING INTERFACE
  8. 8. Shopping Account
  9. 9. Most online groceries provider would provide a guide to help the consumer ease his way through the online order. Usually starts with booking a delivery slot that will be held for 2-3 hours while you shop.
  10. 10. DELIVERY CHARGES Average £3.00 - £6.00
  11. 11. Shopping List For easier shopping when you already know what you need.
  12. 12. VALUE FOR MONEY LONG TERM IMPLICATIONS SIGNIFICANT FACTORS
  13. 13. VALUE FOR MONEY  Delivery Costs  Tesco £3.00- £6.00  Asda £3.50- £6.50  Sainsbury £3.50- £5.50  Bus  Single £1.50- £2.50  Daysaver £3.50 - £4.50  Big Orders  Inconvenient to take bus  Small Orders  Corner store/Local store
  14. 14. LONG TERM IMPLICATIONS  Reduced Shoppers in Stores  Social aspects  Less Physical Stores  Less overhead costs  Lower Employment Rate  Cashiers  Security  Cleaners
  15. 15. SIGNIFICANT FACTORS  UK online grocery market  Estimated 4.4billion in 2009  134% growth over 2005-2009  Food inflation
  16. 16. SIGNIFICANT FACTORS  Location  Rural Areas  City Centres  Targets  Elderly  Busy Professionals  Shopping pattern monitoring  Knowing what people need and want
  17. 17. THE END QUESTIONS?

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