Today's Pickup: Grocery Shoppers Still Prefer Shopping In Stores

Good day,

While most of society seems to be moving quickly toward online shopping, grocery shoppers remain laggards. That is the finding of a new report from Walker Sands on current retail trends.

The firm finds that only 11 percent of those surveyed have ordered a food item from Amazon.com, inc. (NASDAQ:AMZN), while 82 percent report making a purchase in a physical grocery store in the past year. Just 9 percent ordered online and picked up in store, a category that was expected to grow after Amazon's acquisition of Whole Foods in 2017.

An additional 55 percent have made food purchases from a big box retailer such as Target Inc (NYSE:TGT) or Walmart Inc (NYSE:WMT) and 42 percent have bought an item at a wholesale grocery store. "Mom-and-pops" and farmers' markets remain significant components of the nation's food supply chain, with 25 percent of people buying at a mom-and-pop grocery store and 23 percent shopping at local farmers' markets.

Meal delivery services remain a small portion of the market, with 4 percent each subscribing to a grocery service and meal delivery company. Third-party deliver services have been used by 5 percent of those surveyed by Walker Sands.

The reasons for these trends are quite obvious, based on the survey results. Unlike those who shop for hard goods online, 64 percent of consumers prefer to see and feel their produce before buying. Fifty percent cited the ritual and routine of grocery shopping as a factor and 20 percent said the prices are better in store than online.

Did you know?

According to research firm Walker Sands, 61 percent of consumers have made an online purchase in the past year with regular shipping; 42 percent have made an online purchase with two-day shipping; and 38 percent say they have ordered online and picked up in store.

Quotable:

"The majority of trucks on our roads already have speed-limiting technology built in, and the rest of the technologically advanced world has already put them to use to ensure drivers follow safe speeds," said U.S. Senator Johnny Isakson. "This legislation would officially enforce a long-awaited speed limit of 65 mph on large trucks and reduce the number of preventable fatalities on our busy roadways."

U.S. Senator Isakson (R-Georgia), on the introduction of a bill in the U.S. Senate to cap truck speeds at 65 miles per hour.

In other news:

Trucking company vehicles destroyed in fire

A Green Bay, Wisconsin trucking company lost 13 trucks in a fire that spread from a single truck before firefighters could get the blaze under control. (CBS58)

The autonomous Sunshine State

Florida Governor Ron DeSantis has signed a bill that will open up the state highways to more autonomous vehicle testing. (Florida Times Union)

Avoid big cities on the 4th

AAA and traffic data firm Inrix have identified the worst cities to drive in on the 4th of July, and to no surprise, it includes most major U.S. cities. (CNBC)

Port of Brownsville posts record operating revenue

An independent audit confirmed its internal numbers of record volumes and operating revenue in 2018, the Port of Brownsville said. (Valley Star)

Air cargo recovery not happening

Data from WorldACD is showing that a recovery in air cargo volumes is unlikely to happen this year. (Air Cargo News)

Final Thoughts

Tropical Storm Barbara is spinning around in the Pacific Ocean, and while it may not cause any disruption, it is a reminder that we are heading into the heart of hurricane season. The U.S. doesn't see many hurricanes make landfall in any given year, but it is important for those that move freight to pay attention to tropical conditions. Not only does it affect maritime operations – causing vessels to be rerouted around storms – but it can affect traffic and more importantly, demand for goods in areas hit by a storm. Prepared fleets have storm contingency plans in place, and that can make the difference when it comes time to respond to a potential threat.

Hammer down everyone!

Image sourced from Pixabay