Impact of digital transformation on the food retail industry

Abstract

The internet is essential for connecting people with opportunities and information, as well as for bridging the gap between the two. Its influence is significant as it promotes one-on-one exchanges with 24/7 customer support between customers and sellers. Retailers find chances to increase connections with current consumers and attract new ones in the world of digital connectedness. The current digital environment offers increased employee motivation, lower operational costs, and a host of additional benefits that are favorable to revenue and profit considerations. With the integration of the Internet of Things (IoT), artificial intelligence (AI), augmented reality (AR)/virtual reality (VR), and the use of drones and driverless cars, the retail food industry is experiencing rapid technological change. Various factors, including economic growth, increased per capita income and purchasing power, population expansion, shifts in demographic parameters, sociocultural transformations, brand proliferation, and technological innovations, collectively shape the conditions of the retail market. This report focuses on examining consumer perceptions regarding online food and grocery delivery services, with a particular emphasis on the factors influencing consumers in developing countries like India. Employing a qualitative approach through a structured consumer survey, our aim is to unravel the underlying reasons that prompt consumers to opt for online food retailing.