Online Mexican Grocery Has a Huge Market Potential

Cómo estás, mis amigos!

If you are from Mexico or a big fan of authentic Mexican candy or groceries, such greetings from a shop owner will make your day. Unfortunately, it is not easy to find a shop that sells real food from Mexico. And the closest grocery store near me does not even have a Hispanic food section. 

What to do now? Well, Las Posadas Mex has the solution. This online Mexican grocery offers some of the most authentic food items and candy directly from Mexico. You can simply order online and enjoy the taste and flavor from the land of Aztecs.

Along with customer satisfaction, online Mexican groceries like Las Posadas Mex has a huge market potential to become a new business trend. Let’s take a look at how.

Online Grocery is The New Kid in The Block

The rise of e-commerce is an unstoppable force, sweeping across the world and transforming our way of life. A new wave in this movement has been slowly gaining traction over recent months: online grocery stores are popping up all around the USA with one goal - to get food into people’s homes as quickly and efficiently as possible. 

The possibilities seem endless because there's no limit on how far you can sell your products when it only takes a few clicks!

Mexican online grocery Las Posadas Mex has gained significant traction with a combination of e-commerce and traditional brick & mortar strategy. Investors have high hopes for this company because it combines the convenience of ordering groceries from home while providing an opportunity to browse hard-to-find items like Mexican candies that are only available in small towns or at family-owned stores located outside metropolitan areas.

In a recent keynote speech, Tesco CEO Philip Clarke emphasized the importance of online food retail in his company’s future. He emphasizes that it is all the growth they have seen for their core business of selling groceries to people who opt-out from shopping at physical stores and instead use technology like smartphones or tablets to order goods when needed.

Online grocery retail has steadily gained traction since it emerged as an industry around 15 years ago. However, this past year, we saw a boom with companies such as Amazon beginning to offer fresh produce for purchase on Prime Now via drone delivery services, while Wal-Mart bought Jet .com earlier this month. Naturally, this means these two giants will be locked into battle over customers looking for deals - but what does this mean?

It means regional groceries will add diversity in this battle as the giants rely on local supplies. Both European and South American groceries are getting a solid foothold in this market only because of their diverse and authentic stocks.

Why Are People Switching to Mexican eFood Market?

Currently, there is no robust market research data on regional groceries in the US. However, a recent study shows some significant factors that make people keener towards online local groceries. 

At least 700 German consumers were interviewed about their purchase behavior in online shops. The number of Germans who shop for groceries online has grown from 18% in 2011 to 27% in 2013. In 2012, the researchers estimated the market value for food retail purchased via the internet at 370 million Euros. The study found four key motives behind online grocery shopping. They are:

  • Convenience
  • Curiosity
  • Attractive Prices
  • Efficiency 

Like the other stores in the US, most Florida grocery stores do not have a dedicated Hispanic Food section despite having a vibrant Hispanic community. However, Las Posadas Mex is now offering the convenience of home delivery at an affordable price. The wide range of products, including Mexican candies, catches the community’s attention, and people are giving it a try.

Challenges of Online Groceries

Another survey revealed some important facts about the online food industry. Firstly, most people have never bought any groceries online and remain unconvinced of its reliability with reasons including that it is difficult to see or touch what one may be buying. Moreover, the lack of existing grocery stores wishing customers to purchase their goods there instead. 

Second, growth in this area comes mainly from occasional buyers. In contrast, loyal shoppers are scarce amongst consumers who only buy up 1-3 test orders before giving up entirely on purchasing anything more digitally than they would traditionally do.

Challenges of Online Groceries - Florida Grocery Stores - Las Posadas Mex

Europeans are notoriously picky about the food products they purchase. A recent study reveals that only a quarter of consumers who shop online for groceries continue to do so regularly. Product safety and reduced selection are their primary concerns when shopping online. 

This is compared to 44% of Americans still frequenting websites such as Amazon Prime or Walmart's site after researching at least once before making an initial grocery order offline.

How is Las Posadas Mex Overcoming the Challenges?

Las Posadas Mex is also facing considerable challenges to convince people to get into online shopping, especially candies and non-conventional food items. In addition, people are reluctant to buy regularly from local brands, and it’s true for the entire USA. However, online Mexican grocery is developing customer loyalty and acquisition to overcome those challenges.

Customer Loyalty Towards the Brand

Online food retailers have failed to gain customer loyalty from regular customers. However, some online shops are starting to make their product offers more attractive for the occasional buyer. For example, a customer's wish list or profile ensures that they always see what is most relevant and appeals best to them in each store visit.

The internet has made it possible for customers to respond quickly and efficiently to make the process more transparent. Joost W. van der Laan, an independent consultant with Retail Economics, says, "The most promising communication feature is the possibility of responding to customer feedback." Customers can offer suggestions and complaints, which retailers can use as powerful drivers for quality improvement in their company.

Customer Acquisition

Online food retailers should focus on added value. That is, connecting their offering with an attractive price promise. It's also essential to gain customer loyalty through fresh products like locally sourced meat and produce for the online grocery store to become a viable alternative to brick-and-mortar shops. These physical shops offer higher prices due to overhead costs (e.g., expensive real estate).

By employing a transparent supply chain and being efficient when it comes time for returns or exchanges, your business can retain customers who may otherwise be tempted by more convenient shopping options elsewhere. 

Final Words

Regional groceries like Las Posadas Mex are becoming popular for authentic food items, affordable prices, and convenience. However, these online groceries have to overcome a considerable amount of hurdles before getting the attention of regular buyers. 

Building trust and brand value among the buyers can be the most effective strategy to take the authentic food item repository close to people. And like any other regional store, Las Posadas Mex is doing the same.

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