Online groceries are a hard sell, even to avid internet shoppers: poll

LOS ANGELES/NEW YORK (Reuters) - Most U.S. shoppers are fiercely loyal to local food stores, calling them better than online options, according to a new Reuters/Ipsos poll that raises questions about how much Amazon.com's $13.7 billion purchase of Whole Foods will shake up the supermarket business.

Shares in Kroger Co, the largest U.S. supermarket operator, have tumbled 40 percent from this year's highs on worries that the newly merged company will be quick to siphon business from traditional food sellers.

Seventy-five percent of online shoppers said they rarely or never buy groceries online, according to the survey of nearly 8,600 adults from Aug. 12 to Sept. 1. Even among frequent online shoppers who make internet purchases at least weekly, almost 60 percent said they never buy groceries online or do so just a few times a year, according to the poll.

The poll also found that around 60 percent of all adults said their local food markets win on price, selection, quality and convenience. Online sellers led in those categories with only around 3 percent of respondents.

"I like to touch everything," said Beth Hatter, 31, who spends roughly $750 a month on groceries to feed an extended family in Newark, Delaware, and buys a lot of produce.

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6 rules to follow when shopping online
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6 rules to follow when shopping online
1. Make sure that the website you are ordering from is secure
"Many websites will have a seal at the bottom stating that the website is indeed secure and will not make your information public under any circumstances. A site that has 'https://' at the beginning of their web address as well as a padlock symbol is typically a site to trust." -My Broken Coin
2. Search for product reviews beforehand
"Returning items to online stores can be a major hassle. So why not find out what others think of the product before you purchase it online? For example, before buying a new laptop, search for comments and complaints associated with the brand. If there are more negative reviews than positive, and the same problem is reoccurring, then it may not be a brand worth investing in. This will save yourself from buying something that would have to be returned to the store soon after receipt." -My Broken Coin
3. Look for promo codes before checking out
"Who doesn't like saving money, especially on necessities? Almost every retailer will have some sort of promotion available, so ensure you look for one before purchasing. You may not find every code useful or relevant to your purchase, but there are plenty out there that could save you money. So, before you check out ensure you search your retailer for voucher codes and see how much you could save." -My Broken Coin
5. Check and double check your shopping cart
"When shopping online, it's incredibly easy to get side-tracked and accidentally add things into your shopping cart. For example, you may double click on an item and not notice that you've order two of it until it's too late. As well as this, if you've visited a site before but abandoned your cart before purchasing, the site will sometimes have saved your items when you visit again. Thus, it's incredibly important that you double check what you're buying." -My Broken Coin
6. Track your order
"Many sites give you the option to track you orders. This is especially handy when you need your order by a specific date (before Christmas, in time for a birthday party, etc.). Stay on-top of your order's location at all times, including the cities that it is arriving in and departing from every day. A lot of online trackers go through FedEx or UPS and are typically very accurate." -My Broken Coin
4. Price-match whenever possible
"Price-matching and price-comparison is the one of the best strategies for saving money while shopping online, as you will be able to purchase items that you otherwise would not have been able to afford. Retailers are in constant competition with each other to offer the best price and product to customers, so find the one that's offering the best deal." -My Broken Coin
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She shops at BJ's Wholesale Club [BJ.UL], ShopRite and Food Lion, even though online shopping is an option.

Kristian Guy, 25, passes a Met Foodmarket and an organic grocer that stays open until midnight on the walk to his subway stop in Brooklyn.

"I don't really need to think about buying food online," said Guy, who does not want food deliveries spoiling on his doorstep.

Amazon has tried for years to grow its online grocery business, without making much of a dent. Its purchase of Whole Foods took its U.S. grocery marketshare from 0.19 percent to 1.4 percent, versus 14.46 percent for Walmart and 7.17 percent for Kroger, according to GlobalData Retail.

The poll shows "brick and mortar is not dead yet," said Roger Davidson, a grocery consultant, who predicts that the future of food buying will be mix of online and offline shopping.

The Food Marketing Institute and Nielsen expect U.S. online grocery sales to grow from $20.5 billion, or 4 percent overall, in 2016 to $100 billion, or 20 percent overall, by 2025.

Still, some respondents are changing or are open to changing the way they use technology to shop.

Fort Lauderdale resident Ashley Vettese, 24, who said she was wary of online retailers' food quality, uses grocery store apps for coupons. Kirsten Fox, 28, of Albany, Oregon, likes to pick out her own food. But she said she would consider new online ordering/curbside pickup services being rolled out by Kroger and Wal-Mart Stores Inc to avoid taking her young son into crowded stores during flu season.

Loop Capital analyst Andrew Wolf said attitudes toward online grocery shopping could change.

"The fact that few people want online grocery shopping now doesn't mean they won't want it tomorrow," Wolf said.

(Reporting by Lisa Baertlein in Los Angeles and Chris Kahn in New York; editing by Peter Henderson and David Gregorio)

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