High-Impact Omnichannel Shopper Insights: SymphonyAI Research Reveals How AI Boosts Grocery E-commerce Revenue by 8%

“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.”

SymphonyAI’s extensive shopper analysis, covering 72 million households and 1.3 billion transactions over a six-month period in 2024, identifies six trends that signal this growth potential. By using AI analysis to decode patterns in shopper behavior and channel preferences, the SymphonyAI study pinpoints immediate and clear areas for retailers to drive e-commerce revenue:

1. E-commerce Expansion: 81% of new online shoppers are first-time shoppers with that retailer, and online baskets average three times larger than in-store. Crafting strategies to attract and retain these shoppers online is critical as omnichannel customers spend 15% more than single channel shoppers.
2. Seasonality Imperatives: Converting single-channel shoppers to omnichannel shoppers in the all-important fourth quarter boosts customer retention and drives revenue long after the holiday season. Fourth quarter in-store shoppers show more willingness to convert to online channel shopping than during other times of year, and retaining them post-holidays leads to a greater than 3% increase in e-commerce revenue.
3. Convenience in Small Baskets: Small basket transactions are booming, with growth areas including alcoholic beverages and baby products. AI-based merchandising software can use product affinities to craft product recommendations and promotions that entice shoppers to purchase related items and increase basket size.
4. Pack Size Optimization: Online shopper preferences for larger pack sizes vary by category, showing the need for tailored assortment strategies for increased sales. Smaller pack sizes are important options for shoppers in certain categories. For example, online shoppers prefer peanut butter in large package sizes online but small package sizes for jam and honey.
5. Organic Growth: In-store organic product sales are growing at 5.2%, outperforming online organic sales growth rates of 1.6%. Retailers can entice store-only shoppers into the online channel with targeted organic product placements and offers.
6. Category-Specific Channel Preferences: AI-based insights reveal meaningful granular channel preferences by category. In health, beauty, and snack categories, for example, e-commerce shoppers show greater brand loyalty than in-store shoppers, and retailers and CPGs can more closely collaborate to personalize the shopping experience and craft promotional offers in targeted categories to deepen loyalty and drive basket size growth.

“With a worldwide customer portfolio of hundreds of leading retailers using SymphonyAI connected retail products, we see first-hand the measurable impact of AI-based insights and actions to engage shoppers optimally across channels, boost basket size, and increase loyalty,” said Sonia Parekh, general manager of Customer-Centric Retailing for SymphonyAI. “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.”