Customer data provides supermarkets insight into purchase and eating behaviour

Shutterstock

Supermarkets and the entire food industry stand a lot to gain thanks to the new digital opportunities which give them an insight into the customer's purchase and eating behaviour. This may lead to a more efficient food chain.

Eating and purchase behaviour more "connected"

Dutch eating behaviour is becoming ever more "connected". Consumers generate structured data thanks to their online purchase behaviour or a store visit, but they also provide unstructured data with their social media interactions. This is one of ABN AMRO's conclusions in its "Voedsel wordt bits and bytes. Digitale transformation van de foodsector" (Food becomes bits and bytes, the food industry's digital transformation) report.

 

Added value for stores

Thanks to more data and better analyses, companies in the food industry can better predict changing consumer behaviour and detect unexpected correlations.

 

“This will lead to a more personalized supermarket approach, with food catered to someone's lifestyle or health", ABN AMRO Sector Banker Food's Rob Morren said.

 

“Stores now include an increasing number of activities that provide added value. Manufacturers also have to remain vigilant if they want to remain relevant. Tapping into taste preferences or providing meal components are a few things manufacturers can do, as an increasing number of retailers prepare fresh meals right in front of the consumer."

 

Information about food's origin

Morren feels the digital transformation offers opportunities to provide the consumer with more information about food's origin. "Farmers can show what a piece of meat's ecological footprint is."

 

ABN AMRO believes companies in the food industry have to display a digital focus to quickly adapt to the changing consumer behaviour and to increase customer loyalty. This is not only required visibly, when the consumer buys and eats, but also behind the scenes. Quality, efficiency and innovation stand much to gain from a more digitized and flexible manufacturing process.

 

Share data in return for discounts

Even though the consumer expects a company to take his wishes into account, not everyone is willing to share his personal information. ABN AMRO asked TNS Nipo to investigate the matter and it seems that consumers are more willing to share information if they get discounts in return. This shows that financial motivation will entice a consumer to share his information with a supermarket. 48 % of Dutch consumers has no problem sharing personal information or his shopping behaviour with companies, if they get something in return.

 

ABN AMRO emphasizes the willingness to share personal information depends on the situation. If a manufacturer requires insight into purchase behaviour to improve the flavour or composition of its products, then many consumers will be much more reticent. 47 % indicates they would object a lot to this particular approach.

 

If data is used to create better packaging, with a lower ecological impact, then 41 % would not object at all.

 

“Data collection is not a novelty, but the sheer amount of available data, combined with the speed and processing power to analyse it, can help companies make major strides forwards. Those involved will have to give the customer a clear and complete overview why they want the customer's information and what they will do to process and protect that information", Morren states.

 

The full "Voedsel wordt bits and bites. Digitale transformatie van de foodsector" (Food becomes bits and bytes, the food industry's digital transformation) report can be downloaded here.

 

Questions or comments? Please feel free to contact the editors


24/05/2016

Sushi specialist Sushi Daily will open another kiosk on 27 May, in Koksijde's Carrefour Hypermarket. Only on 17 May, the European market leader Sushi Daily opened its 500th kiosk in Turin, Italy.

24/05/2016

Food manufacturer Mondelez International will collaborate with several partners in the fight against child labour with cocoa manufacturers. One of its moves was to call on Embode, a human rights advice firm, to investigate.

24/05/2016

During the first quarter of 2016, European FMCG (fast-moving consumer goods) experienced their slowest price growth in 6 years' time according to Nielsen's report.

20/05/2016

European food retailers are facing three radical changes: hypermarkets are under a lot of pressure, discounters are surging and eCommerce's growth is speeding up. Name brands have to act quickly to guarantee their future existence, according to a Bain & Company report.

20/05/2016

Tesco's UK customers can add products to their shopping list automatically from now on, like when its drops in price or when the temperature increases. A visionary move or only a nerd fantasy?

19/05/2016

Bio c’Bon, the French bio store chain, will open its first Belgian store in Brussels this Saturday. It will be the chain's 97th store and another step towards the company's goal to bring biological food closer to everyone's reach.

18/05/2016

Bike delivery service Foodora celebrates its first birthday today. With more than 600 bikes, it delivers meals in Amsterdam, Utrecht and The Hague for 500 restaurants. 

18/05/2016

Beer brewer SABMiller's profits dropped significantly last year, because of several African expenses related to its pending merger with competitor AB InBev later this year.

17/05/2016

Dutch supermarkets stand to gain 600 million euro in turnover if they rearrange their selves and provide a better product range of dry groceries. That is a 3 % increase in turnover, according to a Nielsen report.

17/05/2016

In one of the upcoming weeks, American online retailer Amazon will launch its own private labels for food, the very first time Amazon will launch its own labels in the food industry.

17/05/2016

Carrefour France has shuffled its board extensively, which also means Carrefour Hypermarkets' director Eric Bourgeois will leave the company.

17/05/2016

Aldi Süd spent two years to create an innovative store formula that emphasizes quality and service more strongly. The discounter aims to remodel all of its stores into this new standard by 2019.

19/11/2014

Bedrijfsleiders zijn zich bewust van het belang van data: volgens een McKinsey-onderzoek vinden directieteams data zelfs de belangrijkste dimensie om te slagen in de digitale transformatie. Vreemd genoeg volgen de investeringsplannen deze attitude (nog) niet. Slechts de helft van de topmanagers vindt hun huidige investeringen in big data voldoende om…
Back to top