Mass Merchants Capture Two-Thirds of eCommerce Purchases

Consumers are choosing different kinds of sellers when they shop online compared to in stores, with mass merchants winning out in eCommerce while grocers lead in brick-and-mortar. By the Numbers The 2023 PYMNTS Intelligence report “Apple Pay @9: The Battle for in-Store Adoption and Usage” drew from a survey of more than 2,000 United States […]

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Consumers are choosing different kinds of sellers when they shop online compared to in stores, with mass merchants winning out in eCommerce while grocers lead in brick-and-mortar.

By the Numbers

The 2023 PYMNTS Intelligence report “Apple Pay @9: The Battle for in-Store Adoption and Usage” drew from a survey of more than 2,000 United States consumers to understand their purchasing behavior.

Supplemental research from the study found that among the 39% of consumers who made an online purchase in the previous 24 hours, more than two-thirds made their most recent one from a mass merchant. Meanwhile, 18% did so from another retailer, 9% ordered food, 4% made a purchase from a grocer and marginal shares did so from convenience stores or gas stations.

Meanwhile, in brick-and-mortar, grocers win. Among the 57% of consumers who made an in-store purchase the previous day, 32% said their most recent such purchase was from a grocer, while 29% said the same of mass merchants. Fifteen percent did so from other retailers, 10% ordered food, 7% made a convenience store purchase most recently and 6% purchased a gas station.

A Deeper Dive

The PYMNTS Intelligence study “Consumer Interest in an Everyday App” underscored that consumers disproportionately shop with grocers when making in-person purchases. One-third of consumers reported shopping for groceries in physical stores or by calling, while only 17% did so for non-grocery retail items, and 29% for restaurant purchases.

Further PYMNTS Intelligence research revealed that as of April 2023, 52% of grocery shoppers made such purchases online and in person, while just 43% did so in person only and less than 6% did so purely via digital channels.

These findings highlight the divergent shopping behaviors between online and in-store consumers. While mass merchants dominate the online retail space, capturing the majority of recent purchases, brick-and-mortar consumers show a distinct preference for grocery stores. This divergence shows the importance for retailers to tailor their strategies to meet the unique demands of each shopping channel, ensuring they can effectively engage and capture their target audience wherever they choose to shop.

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