What is adaptive retail? 5 key stats on meeting consumers where they are

The path to purchase has evolved. “The store remains a vital centerpiece, but the number of digital channels that consumers are using to discover and evaluate brands continues to grow at a rapid pace,” our analyst Blake Droesch said on a recent EMARKETER webinar.

That’s something the US’s largest retailer knows well—for example, Walmart’s rise in retail media and the growth of its Walmart+ membership program.

To continue reaching consumers when, where, and how they like to shop, Walmart is using adaptive retail strategies.

An evolved form of omnichannel retail, adaptive retail tailors shopping experiences to meet the specific wants and needs of each customer by offering convenience, personalization, and a seamless shopping experience no matter how they choose to shop.

Here are five key stats that support an adaptive retail strategy:

1. Connect the ease of subscription services with personal convenience

Key stat: 44% of parents are interested in receiving regularly purchased food and non-food items through a subscription or auto delivery, according to Walmart’s “Adaptive Retail Report 2024.”

Why it matters: Adaptive retail focuses on giving consumers exactly what they want, like automatically restocking their homes and pre-filling their carts with their favorite items at just the right time. For example, adding baby formula into new parents’ cart every seven to 10 days would offer an appealing convenience.

US subscription ecommerce sales are expected to hit $41.25 billion by 2025, according to our May 2024 forecast. Scheduling purchases on a personalized cadence keeps customers loyal to the same brands.

Marketers should show off the ease of customized subscription services in their marketing campaigns. Leveraging this trend can improve customer retention, build long-term relationships, and keep brands relevant in a competitive market.

2. Multitasking consumers want to shop anytime, anywhere

Key stat: 56% of consumers have made a purchase while watching TV in the past six months, Walmart found.

Why it matters: Shopping is no longer a singular, focused activity. Nearly 8 in 10 shoppers have made a purchase while multitasking, according to Walmart. Consumers now make purchases while browsing social media (38%), eating at home (24%), or on their daily commute (8%).

Adaptive retail meets the demand for immediate satisfaction, allowing purchases within seconds of seeing an item without switching channels.

Marketers should integrate shopping into social media, connected TV, and other activities, and design multichannel campaigns to capitalize on these moments. Doing so will make it easier for consumers to shop wherever they are.

3. Gen Zers are social shoppers

Key stat: 55% of Gen Z have made a purchase while browsing social media in the past six months, and 38% of Gen Z begin their shopping journey on social media, according to Walmart.

Why it matters: Social media is a key platform for product discovery. Some 67% of US social media users are likely to use social search during their purchase journey, according to March 2024 data from IZEA.

Social commerce is also growing, with 33% of US adults ages 18 to 34 making purchases on social platforms like Instagram and TikTok, according to an April 2024 EMARKETER survey.

Additionally, 20% of Gen Z shoppers in Walmart’s survey think shopping through social media makes the experience more convenient and enjoyable.

Social media is a must to reach younger consumers. By integrating shoppable content on social channels, marketers can connect with Gen Z where they spend their time.

4. Meet consumers’ demand for instant gratification

Key stat: Nearly half (48%) of consumers want the ability to get their item immediately when shopping online, and 42% want the option to make an in-store purchase 24/7, according to Walmart’s report.

Why it matters: An adaptive retail strategy blends online and in-store shopping into one experience, giving customers the convenience of online shopping with the immediacy of in-store visits.

To make this happen, shoppers want efficient tech solutions. About half (48%) want to buy items instantly with just a few clicks, and 50% are interested in phone-based self-checkout in-stores, Walmart found. Additionally, 64% want a service that delivers orders in 30 minutes without extra cost of expedited shipping.

By introducing tech solutions that simplify shopping and enable fast delivery, marketers can meet consumer demands for convenience and speed.

5. Consumers are driven by value, not by channel

Key stat: More than half of Gen Z and early tech adopters buy their food entirely online (54%) or use a mix of online and in-store shopping (58%), per Walmart.

Why it matters: Grocery retail sales are expected to reach $1.569 trillion in the US this year, with $204.61 billion coming from online purchases, according to our forecast.

As consumers get more comfortable with shopping online, Walmart found that consumers choose where to shop based on key values like competitive pricing, the availability of high-quality items, and data security. Gen Z and early tech adopters are especially channel-agnostic, focusing on overall value rather than the shopping method.

For marketers, highlighting competitive prices, quality, and security across all channels can attract and retain customers, whether they shop online, in-store, or do a mix of both.

 

This was originally featured in the Retail Daily newsletter. For more retail insights, statistics, and trends, subscribe here.