Dive Brief:

• Grocery retail is the top industry for providing high-quality customer experience, according to new research from professional services firm KPMG, beating out other categories like non-grocery retail, restaurants and fast food, and entertainment and leisure.
• H-E-B was ranked second among the top 10 individual brands for customer experience, while Amazon took sixth and Costco took eighth. Eleven other grocers, including Wegmans and Publix, are in the top 100. 
• The report also noted a major improvement for Food Lion since 2018, which moved up 87 spots to rank 58 among the top 100 brands. 

Dive Insight:

The study’s findings highlight the overall emphasis that grocery retailers are placing on customer experience. While historically the industry has been a customer-focused business, the addition of digital properties like e-commerce and mobile apps has introduced additional challenges as well as opportunities for grocers.

Based on the results of this study, the efforts are paying off. In addition to investments in online shopping and personalized marketing, grocery retail has some inherent advantages, including a large audience, high trip frequency and the emotional connection shoppers have to food and beverages. 

H-E-B is a Texas cult favorite that has made several investments to enhance customer experience. The grocer is building its digital capabilities with two tech centers, and part of its digital plan is to improve the in-store experience through technology in lieu of focusing solely on its online offerings. H-E-B offers cooking demonstrations, curbside delivery and a variety of in-store dining. Like Chick-fil-A, which was third on KPMG’s list, and fellow cult favorite Trader Joe’s, H-E-B has cultivated a reputation for offering superior customer service from happy employees.

The presence of other grocery customer favorites including Wegmans, Publix, Costco and Trader Joe's on KPMG's top 100 list verifies these companies' strategies to emphasize solid customer service. When a company designs a strong employee experience and provides a positive work culture, "the desired consumer experience will naturally emerge," the report said.