Before the COVID-19 pandemic, some grocery stores were experimenting with online ordering and omnichannel payments. Consumers were slow to adopt, holding on to their weekly in-store shopping routines. However, when consumers were unable or unwilling to shop in stores, online ordering and self-service provided no-contact ways to get the essentials. As a result, omnichannel payments for grocers grew an estimated five times the original forecast for 2020.
ISVs and VARs have the opportunity to help grocery stores and chains optimize the systems they’ve deployed to meet the demand for omnichannel grocery shopping, and that includes communicating the value that an omnichannel payments platform can offer their businesses.
5 Benefits of Omnichannel Payments for Grocers
- Enables Online Grocery Sales
According to The Online Grocery Shopping Report, 56 percent of consumers are ordering online more frequently in 2023 than the previous year. Additionally, online grocery sales are expected to grow to $187.7 billion by 2024. However, capturing some of that market depends on the digital services a grocer can provide. Particularly when 51 percent of millennials would switch brands for better experiences. Omnichannel payments will help grocers meet their customers’ expectations. - Optimizes Self-Service
Self-checkout in the United States comprises an estimated 38 percent of all grocery chain lanes. Moreover, an analysis of 4.5 billion transactions made by 245 million consumers showed that those who consistently used self-checkout and staffed checkout lanes had the highest retention rates. An omnichannel payments solution gives grocers the ability to provide the in-store checkout experiences consumers want while managing payments from one platform. - Overcomes Demographic Differences
Age, demographics, and transaction amount influence consumers’ payment preferences. While consumers under 25 have decreased cash use in favor of card payments, consumers in lower-income households continue to rely on cash payments despite the transaction amount. Debit and credit card use are on the rise among most demographics, and mobile app and wallet use for in-person payments is also gaining ground. The best way to meet all customers’ expectations is with a platform that supports all types of payments. - Allows for Gift Card Integration
Gift card sales are expected to increase by 37.5 percent by 2026. You can add value to the solutions you provide with gift card integration, particularly a comprehensive white-labeled platform that allows grocers to showcase their branding, manage cards across multiple locations, and access consolidated reporting. - Provides Insights for Personalizing Shopping Experiences
Omnichannel payments can provide grocers with data and insights from all shopping channels. This helps business owners understand new shopping journeys and what influences buying decisions. That data can be leveraged to deliver more personalized shopping experiences and well-timed and relevant promotions, special offers, and tailored loyalty rewards.
Features of Omnichannel Payment Solutions for Grocers
When you’re considering payments integration for the solutions you provide, keep these three must-haves in mind:
- Accepts all Payment Types
The optimal platform for your grocery store clients will support unattended, QR code and text-to-pay options, cash, credit, debit, and EBT payments in-store, and a full range of options online.
- Security and PCI Compliance
Do your due diligence to understand the security measures the payments platform provider uses to protect payment data and mitigate fraud.
- Unified Reporting
Multiple platforms and payment types shouldn’t mean more back-office paperwork. The right omnichannel payments solution will provide unified reporting to streamline back-office processes.
Get Started with Datacap
In just a few years, the grocery vertical has had to respond to new consumer preferences and shopping behaviors. Your expertise is vital to help them evolve into omnichannel operations. Part of that transformation is transitioning from payments only at the checkout counter to online and self-service transactions.
See how a partnership with Datacap can help you provide your clients with omnichannel payments and build your business’ revenues as well. Contact us.
