On the cusp of incredible growth, online grocery sales will more than triple by 2022, reaching $41.7 billion and seeing a compound annual growth rate of 27.1%.
Improving trust in perishable selection and expanding service reach are key to developing market share in online grocery sales over the next five years. The two giants driving online grocery sales best exemplify the competition between pickup and delivery models: Amazon is using its extensive Amazon Prime membership to encourage its customers join its delivery bandwagon, while Walmart is working to establish pickup grocery service at almost half of its stores by the end of 2018. Even so, both these retailing giants need to improve consumer trust in perishable selection and delivery to match the trust levels garnered by long-time online grocery incumbents Fresh Direct and Peapod.
Online Grocery Sales Growth to Continue Despite Urban Market Niche
The additional costs that typically go along with online grocery orders, coupled with service area limitation, means that online grocery sales remain anchored in highly urbanized areas, and personal income levels remain the most important demographic indicator for online grocery sales. This will not slow market expansion, however.
What You'll Get in This Report
Online Grocery Shopping in the U.S. provides an in-depth analysis of the online sale of foods and beverages in the U.S., focusing on the key product categories and delivery styles driving the market. The report covers the online sale of groceries from traditional supermarkets and mass merchandisers now selling products online, online-only grocers and marketplaces selling perishable and non-perishable foods and beverages, and third-party pack and deliver companies. All information and analyses in the report is highly accessible, presented in concise text and easy-to-read and practical charts, tables, and graphs.