It is a known fact that retailers are badly impacted by online shopping but now this war is coming to the supermarket with familiar impact i.e. consolidation, bankruptcies, and falling prices and newcomers.
In the US, Lidl, a German retailer known for low prices and efficient operations, is expected to start an aggressive US expansion that could open as many as 100 new stores across the East Coast by the summer of 2018. This is bad news for the cutthroat grocer segment. As the ranks of US grocery stores have swelled, food has become a way for retailers and pharmacies to compete for customers. There has been a surge in grocery, pharmacies and discount stores in 2016. Retailers are struggling because Amazon is taking up more sales of clothing, electronics, and other items that once drew shoppers to stores and malls. The grocery business has been a safe haven in recent years with only 1% of the roughly US1.5 trillion industry having moved online. For most of America, food is not purchased online. But now more food is sold in more places, with pharmacies and dollar stores looking to groceries to lure customers. This is also the case in South Africa. Read more here: https://www.bloomberg.com/news/articles/2017-05-04/why-the-retail-crisis-could-be-coming-to-american-groceries?cmpid=socialflow-facebook-business&utm_content=business&utm_campaign=socialflow-organic&utm_source=facebook&utm_medium=social