Traditionally, shopping for fresh produce has been an in-store affair. There’s just something about being able to see, touch, smell and even taste fruits and vegetables before popping them into a grocery cart.
With the rise of online shopping, however, retailers are now challenged with translating the produce-shopping experience to the digital world. At the same time, grocery stores are upping their game to make produce shopping easier, fun and more engaging.
Retailers and industry experts recently shared insights about successful strategies and best practices.
In-person shopping remains strong
Brick-and-mortar shopping still accounts for the vast majority of channel share in the grocery space. According to Circana Integrated Fresh data for all outlets during the 52 weeks ending Nov. 5, 2023, in-store channels accounted for 97.6% of fresh produce dollar sales. Online produce shopping totaled 2.4%, down from 2.6% share the previous year.
“The Power of Produce 2024” report from FMI states that while the pandemic spurred a spike in online purchasing in 2020, engagement has since dropped below 2019 levels. In 2019, 54% of those surveyed shopped for fresh produce online, compared to 64% in 2020. In 2024, just 37% reported buying their produce online.
Online shopping continues to skew toward higher-income households seeking convenience.
Digital shoppers over-index on value-added fruits and vegetables, as well as organic produce. Many look to digital sources such as store apps for meal ideas. Although channel share for online shopping remains small, its customer base is devoted; 78% of FMI survey respondents said they expect to continue the practice in the upcoming year.
When asked about the top attributes of a great produce department, brick-and-mortar customers prioritized freshness, quality and attractive prices. The report suggests that retailers can increase engagement by carrying locally grown produce, running promotions and offering product samples.
Finding new ways to engage online
The Fresh Market has long had a devoted following for its vibrant produce department. In 2023, the Greensboro, N.C., retailer added shoppable livestream events to bring that excitement to the digital space. The grocer partners with lifestyle host and TV personality Anna Rossi, along with chefs and influencers, to create recipe demonstrations and how-to content — often focusing on seasonal themes — that allows viewers to shop along.
During the digital events, users can click on-screen popups to add items directly to their online carts. Shoppers can post comments and ask questions throughout the livestreams and see immediate responses from The Fresh Market team. Customer reception has been so positive since last year’s launch that the company now runs three events per month.
“It’s been a great way for us to create recipes, inspiration and storytelling, all in one place,” said Gloria Reardon, director of brand marketing and consumer research at The Fresh Market.
The videos also offer sponsorship opportunities for brands and produce marketing entities.
“One of the really interesting things that we have done is partner with groups like Fresh from Florida that are interested in promoting produce,” said Reardon, who is responsible for the video content as well as the store’s magazine.
Sponsors work with The Fresh Market to provide inspiration based on what’s in season or trending, and those products will then be featured in the livestream event through recipes or demonstrations.
While it does take staff resources to answer participants’ questions while the livestreams are running — there are typically six team members working at the back end — Reardon said, it’s not overly taxing.
“We all bring in our lunches, and we’ll sit there and respond,” she said. “I’m going to watch the events anyway, so I may as well be available to answer questions.”
Walmart takes a similar approach with its Stream & Shop events. Accessed through the store’s homepage, the videos feature social media influencers and Walmart creators.
Walmart also inspires grocery customers through its digital recipe hub. Each recipe includes a shoppable list of ingredients that customers can drop directly into their online shopping carts.
Creating excitement in stores
Technology is also enhancing the customer experience in brick-and-mortar stores.
Instacart recently introduced the Caper Cart, a digitized “smart cart” that provides customers with product recommendations, location-based deals and other benefits via a small screen mounted near the cart handles. Designed to offer a more personalized shopping experience, the cart automatically recognizes items as they’re dropped in and tracks spending in real time.
The high-tech buggy even includes a built-in scale for weighing produce. Checkout is completed directly from the cart.
Caper Carts are already in service or soon to be deployed by retailers including Bristol Farms, Fairway Market, Geissler’s, Kroger, Schnucks and ShopRite, according to an Instacart spokesperson. This year, the digital carts launched at Aldi in Europe, along with the Davis Food & Drug grocery chain in Utah.
Instacart expects to add thousands of more carts to the retail landscape as momentum grows.
On the analog side, retailers are revamping store designs to create a more efficient and engaging shopping experience for produce lovers.
This year, Schnucks Markets expanded and renovated the produce departments in two Missouri locations: Cross Keys and Hampton Village. Mike Tipton, vice president of produce and floral for the St. Louis-based retailer, noted that enhanced lighting and merchandising vehicles in these locations better showcase the variety and selection of items offered in Schnucks stores.
“With produce impulse purchases being at an all-time high, we have to be mindful of how we set our displays to grab our customers’ attention and entice them to not only stop at a display but to shop it as well,” Tipton said.
The store designs themselves also play an important role.
“Experiential shopping is really at the forefront of what we focus on as designers because it’s bringing customers into the store,” said Carol Bartolo, vice president of the architectural design firm BRR Architecture, based in Overland Park, Kan. BRR headed up recent remodels for Schnucks and has worked with more than 40 grocery brands across the country, including Whole Foods Market, Sprouts Farmers Market and Hy-vee.
Bartolo notes that produce is a primary driver for getting customers in the door, so the department’s layout and features deserve special attention. Freshness and convenience are key.
“We have to take into consideration the circulation and the flow of the space so it provides direct access to whatever the customer needs,” she said. “People want it to be quick and easy to grab their fresh.”
To help customers find what they’re looking for, recent BRR designs feature large wall signage and graphics that can easily be seen from across departments.
Because customers are increasingly interested in knowing where their food comes from, many retailers are requesting extra space in the produce section for displays about local growers and sustainable farming practices, Bartolo said. Creating a farmers-market atmosphere is another successful strategy to engage customers as produce departments expand from the front of the store to include outdoor spaces just outside the entrance.
The trend toward theater and drama continues in the form of fresh juice bars, fruit salad stations, and “produce butchers” who dice and spiralize fresh produce to take the prep work out of cooking.
Though produce butchers have been around a for a few years, Bartolo said, it has taken a while for the concept to gain traction due to logistics, cost and labor.
“It’s [mainly] in higher-end stores, but I know it’s something that clients are starting to think about,” she said. “Not only does it offer convenience, it also offers theater.”
The aromas of in-store prep are another big draw.
“If you’re in the produce department and somebody’s there slicing pineapples or mangoes, you can smell it through the whole store,” Bartolo said. “It’s all part of that experiential shopping.”