Managing Curbside Pickup in Your Small Grocery Store: 7 Expert Tips

Does your grocery store accommodate families with young children, busy professionals, and elderly shoppers? 

These customers don’t always have the time or energy for a traditional shopping trip, so instead of relying on independent grocery stores like yours, they turn to e-commerce giants like Amazon Fresh or Walmart to meet their needs. 

But there’s good news: Offering curbside pickup can help you win them back. 

Keep reading to learn the why and how behind curbside pickup for small business grocers, including seven simple steps to get started. 

Curbside Pickup for Grocers 101

The world of e-commerce can be intimidating for independent grocers, especially if you feel like you have to offer door-to-door delivery service. 

However, offering curbside pickup can provide the same benefits without the massive investment and logistical headaches. Here’s why we recommend that small grocery stores start with pickup instead of delivery: 

• It’s convenient for customers: Grocery pickup popularity is actually growing faster than delivery, showing that customers value the convenience of a quick and easy shopping trip. 

• It minimizes logistical concerns: Offering pickup instead of delivery eliminates stressful (and expensive) tasks like hiring a fleet of drivers, planning trip routes, and budgeting for fuel. 

• It’s affordable: Budget-savvy customers don’t want to pay delivery fees and premiums, so they often choose pickup instead to save time and money. 

In short, curbside pickup is a less-intimidating alternative to delivery for you and your customers. 

Let’s dive in and explore how to start offering this revenue-boosting service. 

1. Start With the Right Technology

The right online grocery platform is the most important ingredient for a stress-free launch. It should be easy for you to set up and for your customers to use. 

Online ordering apps like Instacart are a beginner-friendly introduction to the world of grocery e-commerce. In exchange for a small commission fee on each order, you can take advantage of their existing user base and driver fleet if you decide to offer delivery.

Your other option is a website builder — either one integrated with your POS system or a standalone tool like Local Express. These tools help you create a fully customized virtual storefront, but they require more effort during the setup process. 

Most successful grocers use both of these tools, allowing new shoppers to find their store on apps like Instacart and encouraging loyal customers to order through their standalone website. 

Related Read: Online Grocery Software: 10 Challenges, Solutions, & Providers 

2. Create an Easy Online Shopping Experience

Now it’s time to craft the perfect shopping experience for your online customers. 

Your goal is to give your online shoppers the same high-quality experience that your in-store customers have come to expect. Make sure your website or app visitors can: 

• Easily browse your offerings: Upload clear photos, create detailed item descriptions, and mirror your in-store layout with organized product categories. 

• Understand your fees: Clearly display your pickup and delivery fees to prevent sticker shock when customers reach the checkout screen. 

• Choose a pickup window: Let shoppers select a pickup time that works for their schedule. Pickup windows are usually around two hours to give your shoppers flexibility and to protect your storage space. 

Your e-commerce platform should make it easy to organize your products, adjust your fees and prices, and manage pickup windows. 

3. Set Up Pickup-Friendly Spaces

You’ve set up your virtual storefront — now it’s time to get your physical space ready for the demands of pickup. 

First, determine how your pickup process will flow. With curbside pickup, customers generally expect one of two options: In-store pickup requires them to park outside your store and walk in to receive their order, and car-side pickup allows them to stay in their vehicle while one of your employees brings out their order. 

Either way, you’ll need to designate a few parking spots at the front of your store and install clear signage to direct pickup customers to the right place. 

You’ll also need to set aside staging and storage space for your online orders. Consider purchasing an additional refrigerator and freezer to ensure food safety. 

4. Train Your Staff on Pickup Policies

Your employees are the engine behind your pickup operation, so make sure they have the right training to fulfill orders accurately and keep customers satisfied. 

Cover how to select meat and perishables, make substitutions for out-of-stock products, package orders, and hand off orders. 

Keep in mind that offering grocery pickup will increase your team’s average workload, so you may have to adjust your scheduling strategy. Keep an eye on your sales reports to spot trends in your online orders, and ensure you have enough staff on the sales floor to handle the volume. 

5. Make an Inventory Management and Quality Control Plan

Without the right inventory management techniques, selling online can cost you sales and frustrate in-store and online customers. 

Let’s say bottled drinks are in high demand among your curbside customers. You might encounter unexpected stockouts in the beverage department as a result — disappointing your in-store shoppers and leaving you unable to fulfill future online orders. 

The first step to solving these inventory issues is to ensure seamless integration between your POS system and e-commerce platform. This way, every online sale is reflected in your inventory records and out-of-stock items are marked as unavailable on your website. 

Here are a few more best practices to follow: 

• Pay close attention to your sales reports: Rely on your POS system’s sales reports to learn about your online customers’ shopping habits, adjust your ordering approach, and prevent stockouts. 

• Develop a clear substitution policy: Sometimes, substitutions are inevitable, so your employees and customers should know what to do and expect if a requested item is out of stock. Whether you substitute for a similar item, contact the customer, or offer a refund, set consistent standards. 

• Understand perishable quality concerns: Customers have strong preferences when it comes to the firmness of their avocados or the marbling in their steak, which is why these perishables can lead to quality control issues. Let customers add custom notes to their orders to prevent complaints and refunds. 

Being proactive about these inventory management challenges will protect your bottom line and ensure online and in-store customers have access to their go-to products. 

Related Read: 7 Online Grocery Delivery Challenges (and How To Overcome Them) 

6. Market Your New Pickup Options

Marketing is crucial for a successful curbside pickup launch. After all, customers can’t take advantage of this service if they don’t know you offer it. 

Here are a few of the most effective ways to spread the word about your grocery store’s new curbside pickup option: 

• Leverage social media: Post informative content that walks followers through your pickup process from start to finish. Post photos or short videos of your designated pickup areas and parking spots, and include the link to your online ordering app or website. 

• Send email and SMS updates: Announce your curbside pickup launch via email or SMS. This gives you the chance to connect directly with your most loyal customers and offer them a special discount on their first order. 

• Use signage: Don’t overlook the power of old-school signage! Use window clings or flyers to announce that curbside pickup is available and encourage in-store customers to place their first online orders. 

These strategies will drive new and loyal customers to your online ordering platform. 

7. Make Sure Your Pickup Orders Are Actually Profitable

Unfortunately, the uptick in revenue that comes with curbside pickup doesn’t always translate into higher profits for small grocery stores. 

In fact, you could even lose money on some orders since pickup (unlike delivery) doesn’t usually come with an additional fee. 

So, how can you turn a profit on every single pickup order? Here are three ways to protect your bottom line: 

• Calculate the true cost of offering pickup: Include expenses like website maintenance, extra labor, packaging materials, and layout upgrades. Estimate how much you spend fulfilling each online order. 

• Charge modest markups: Instead of charging hefty service fees that scare customers away, add small markups to your most popular pickup items. This will help you recoup the additional cost of offering pickup without causing sticker shock. 

• Set strategic order minimums: Eliminate small, unprofitable orders by setting a minimum order value for pickup. Most grocery stores have minimums between $25 and $50, so experiment with different promotions and offers. 

Your POS system’s sales reports are your best bet to track costs and identify areas to boost profits. 

Manage Curbside Pickup Like a Pro With IT Retail

Congratulations! You’re ready to start a successful grocery store curbside pickup business.

But first, you need the right tools and support. IT Retail is an all-in-one POS solution that integrates seamlessly with leading grocery store pickup platforms, including our built-in tool, Instacart, and Local Express. 

Plus, our software includes all the features you need to keep your customers happy and your store profitable — like perishable and weight-based inventory tracking, in-depth reporting and analytics, automated ordering and receiving, built-in customer loyalty features, and more. 

Talk to an expert and see IT Retail in action by scheduling your personalized demo today.