First came beauty treatments and haircuts, then, travel packages jumped on board. And in the latest addition to the group-buying trend, groceries can now be purchased online for much less than retail prices.

Groceryrun.com.au, launched by one of Australia’s largest group-buying companies CatchOfTheDay, will make everyday supermarket purchases available every Wednesday and Thursday for up to 50% less than the physical retailers, with some items “slashed up to 80% off recommended retail price”, in an effort to capture consumers who looks for discounts and value in all aspects of their lives.

The introduction of GroceryRun is aimed at challenging the major supermarkets that currently dominate the grocery section. According to Gabby Leibovich, founder of CatchOfTheDay and Scoopon, he hopes this will shake up the status quo.

“If shoppers are serious about saving on their groceries, then they need to shop online,” says Leibovich.

Not only does Groceryrun tout to have Australia’s lowest prices, the restricted opening days of Wednesdays and Thursdays also help ensure that suppliers are not being burned by continued cut-price tactics.

A shipping fee of $11 will be charged for deliveries around Australia.

A trial was launched 12 months ago, where CatchOfTheDay offered groceries as part of a two-day shopping event, and the company reportedly sold an average of two grocery items a second and netted over $1million in 48 hours.

The launch of GroceryRun came at the same time when a study found that Australian women are adjusting their daily purchase cycles to incorporate online retail. The research conducted by Kidspot found that 94% of female smartphone users make purchases directly online via their computer or smartphone.

Convenience, lower prices and time effectiveness are the leading reasons that are drawing female shoppers online, and while entertainment, travel and beauty products are their most purchased items online, groceries might soon be on that list.

“Consumers have moved outside the traditional purchase funnel and now have greater control of the process. From how she learns about products to tracking down a better price, she now actively pulls useful and relevant information effortlessly online. Marketers must move beyond push-style communication and influence consumer-driven touch points such as word of mouth and online information sites and in some cases provide her with the ability to easily transact,” said Katie May, CEO of Kidspot.

 

 

Belle Kwan
BY Belle Kwan ON 23 September 2011
Assistant editor, Marketing magazine & marketingmag.com.au
A marketer's dream who believes everything she sees on TV.
Advertising is not evil, it is an artform and a science.