February 2014 What American Families are Cooking and Eating Digital Grocery Shopping Trends The rapid adoption of mobile devices among shoppers is creating opportunities for brands to rethink how, when, and where they connect with their target audiences. With mobile devices in hand, consumers are no longer required to scour weekly newspapers, clip coupons, scribble lists on scraps of paper, or come prepared with printed recipes to inform their purchase behaviors. The integration of mobile devices, specialized apps/ mobile sites, and free in-store wireless connectivity allows consumers to access product, pricing and meal preparation instructions as they navigate the aisles. Allrecipes’ 2014 Digital Grocery Shopping Survey takes a look at consumers’ attitudes and behaviors towards digital shopping tools. To participate in the survey, respondents were required to own a smartphone and be a primary household grocery decision maker. Grocery Shopping DIGITAL BEHAVIORS Compare Prices Shopping Lists Find Recipes Clip Coupons Product Reviews Product Information Time, Money, and Preparing Recipes Drive Shopping List Use Insight#1 Shopping lists continue to have broad appeal. Nearly all survey respondents always (61%) or sometimes (32%) use a list when grocery shopping. The strongest motivations and benefits for using a shopping list are tied to saving time and money, coordinating shopping among multiple shoppers and stores, and preparing recipes. Key motivations for shopping list use SALE Make sure to purchase recipe ingredients 88% Save time shopping 87% Allrecipes.com Measuring Cup BUY Save money by purchasing only needed items Make sure I purchase on-sale ingredients Helps me shop at multiple stores Allows others in household to do grocery shopping Purchase groceries online 74% 73% 63% 48% 28% February 2014: DIGITAL GROCERY SHOPPING BEHAVIORS 1 Planners and Impulse Shoppers Share the Same Aisle Insight #2 What sort of shopper are you? Grocery shopping style HAVE viewed a list/recipe in-store on their smartphone Have NOT viewed a list/recipe in-store on their smartphone % Change Planner 68% 61% +11% Family friendly 53% 50% +6% Deal hunter 45% 46% -2% Multi-store shopper 44% 40% +10% Meal-by-meal shopper 32% 18% +77% Last-minute shopper 24% 12% 100% 20% 13% +54% Impulse shopper Insight #3 Using smartphones to access digital lists and recipes has a strong appeal for a range of shopping types— the most significant group being planners; more than two-thirds of home cooks who view lists/recipes on their smartphones while instore consider themselves planners compared to the total audience of home cooks with smart phones. They keep company with last-minute shoppers and impulse buyers. Survey results also indicate the strong appeal of digital lists/recipes for last-minute shoppers and impulse buyers. In fact, shoppers who have used a digital list or looked at a recipe in-store were nearly twice as likely to consider themselves a last-minute shopper. If It’s Not on the List, It’s Not in the Cart Do your purchases follow your original list? Shopping List With half of digital shoppers (55%) sticking to only the items on their list when buying groceries, it’s essential for brands to understand what influences the likelihood for shoppers to add products to their list. Survey responses suggest the most powerful ways get a product added to a list are: 1) coupons/savings, 2) community (positive product reviews), and 3) content (recipes). What would lead you to add to your list? hold firm to their lists 55% 45% are more flexible 1 Coupons & Savings 3 Recipe Needs 3 eggs 1/2 cup... 2 Tbsp... s Coupon and s Saving 82% Allrecipes.com Measuring Cup 2 Positive Reviews 57% ~85% February 2014: DIGITAL GROCERY SHOPPING BEHAVIORS 2 Digital Shopping Lists and Coupons Lead In-Store Mobile Use Insight #4 The smartphone’s ability to meet a wide range of needs is helping to secure its position as a mainstay grocery shopping companion. In addition to the use of digital shopping lists, shoppers are also using their phones to access digital coupons, compare prices, find recipes, and search for product information. With the exception of sending texts, Millennials with smartphones are more likely than older generations to use their smartphones for a broad range of tasks. Which of the following activities have you done on your smartphone while shopping at the grocery store? 58% Compare prices 34% 51% Access shopping list 42% 46% Find recipes 23% 40% Find digital coupons 30% 23% Search for product information Find product reviews The Future of the Shopping List? Insight #5 17% 17%  Millennials  All Others 9% While we don’t have a crystal ball, Allrecipes thought it would be fun to consider how advances in digital technology may affect how we shop and cook. Take a look! What’s your prediction? Wearables Smart Appliances eGrocers Digital coupons Google Glass & smartwatches Web-connected appliances Delivery/click & collect Mobile & social enhanced coupon book Allrecipes.com Measuring Cup February 2014: DIGITAL GROCERY SHOPPING BEHAVIORS 3 About Allrecipes.com Methodology Allrecipes, the world’s largest digital food brand, receives more than 1 billion visits annually from family-focused women who connect and inspire one another through photos, reviews, videos and blog posts. Since its launch in 1997, the Seattle-based social site has served as a dynamic, indispensable resource for cooks of all skill levels seeking trusted recipes, entertaining ideas, everyday and holiday meal solutions and practical cooking tips. Allrecipes is a global, multi-platform brand with 18 web and mobile sites, 11 mobile apps, and 15 eBooks serving 23 countries in 12 languages. In November 2013, Allrecipes magazine launched nationwide, and an Allrecipes cooking segment premiered on The Better Show. Allrecipes is part of Meredith Corporation, the leading media and marketing company serving American women. For additional information regarding Meredith, please visit www.meredith.com. For additional information regarding Allrecipes, please visit press.allrecipes.com. The Allrecipes Digital Shopping List Survey was conducted on December 3, 2013. A panel was used to allow for objectivity and even distribution across age segments. Respondents were required to be the primary grocery shopper for their home and own a smart phone. The gender breakout was 69 percent women, 31 percent male, and 50 percent of respondents had children in their households. No incentives were used to reward or incent participation. For more information on the survey methodology such as response counts for each question or details on questions in order or format, please feel contact us. About Meredith Corporation Please Contact: Meredith Corporation (NYSE:MDP; www.meredith.com) is the leading media and marketing company serving American women. Meredith features multiple well-known national brands—including Better Homes and Gardens, Parents, Family Circle, Allrecipes.com, Fitness, American Baby and EveryDay with Rachael Ray—along with local television brands in fast-growing markets. Meredith is the industry leader in creating content in key consumer interest areas such as home, family, food, health and wellness and self-development. Meredith uses multiple distribution platforms—including print, television, digital, mobile, tablets, and video—to give consumers content they desire and to deliver the messages of its advertising and marketing partners. Esmee Williams Allrecipes.com Measuring Cup Vice President of Brand Marketing 206–436–7416 [email protected] February 2014: DIGITAL GROCERY SHOPPING BEHAVIORS 4