Global Online Grocery Market Insights Forecasts to 2032
- The Global Online Grocery Market Size was valued at USD 365.74 Billion in 2022.
- The Market is Growing at a CAGR of 22.69% from 2022 to 2032
- The Worldwide Online Grocery Market Size is expected to reach USD 2827.63 Billion by 2032
- North America is expected to Grow the fastest during the Forecast Period
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The Global Online Grocery Market Size is expected to reach USD 2827.63 Billion by 2032, at a CAGR of 22.69% during the forecast period 2022 to 2032.
The online grocery market refers to a digital platform where consumers can buy food and household goods over the Internet. This digital marketplace provides consumers with convenience, a diverse product selection, and time-saving benefits. Grocery shopping via online channels is becoming more popular as a result of technological advancements, urbanization, and a shift in consumer purchasing habits. The market is being driven by rising disposable income and attractive discounts offered by online grocery stores. Low service fees and easy availability of time slots are also aiding market expansion. Online grocery stores provide more options than traditional stores. A busy lifestyle has also increased market share. Furthermore, the industry is growing as a result of a greater emphasis on expanding e-commerce business and the implementation of appealing marketing strategies. Online stores are increasingly adopting free delivery policies and offering significant discounts as a result of rising competitiveness and the availability of a large number of shops in unorganized sectors. Consumers value on-time and hassle-free delivery, which is propelling the online grocery industry forward.
Global Online Grocery Market Report Coverage
|Market Size in 2022:
|USD 365.74 Billion
|Forecast Period 2022-2032 CAGR:
|2032 Value Projection:
|USD 2827.63 Billion
|Historical Data for:
|No. of Pages:
|Tables, Charts & Figures:
|COVID-19 Impact Analysis, By Type, By Platform, By Delivery Type, By Business Model, and By Region
|Walmart Inc., Auchan SA, The Kroger Co., TESCO PLC, com Inc., Royal Ahold Delhaize NV, Blink Commerce Private Limited, ASDA, Albertsons Companies, Inc., ALDI, Fresh Direct, LLC.,and OTHER key vendors,
|The vegetables & fruits segment dominates the market with the highest revenue share over the anticipation period.
|Pitfalls & Challenges:
|COVID-19 Empact,Challenges, Future, Growth, & Analysis
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Customers are drawn in by the simple and hassle-free experience, which contributes to the rapid growth of the online grocery market. Due to technological advancements, the market demand for online groceries has increased. Furthermore, factors such as continuous improvement in e-commerce technology, mobile applications, and logistics enable customers to have a more user-friendly and efficient shopping experience. Secure payment gateways and efficient delivery systems foster trust and convenience, attracting more customers to online grocery shopping. Such factors increase the demand for online groceries. Moreover, the industry's growth can be attributed to easy doorstep product delivery, higher quality products, and the absence of geographical boundaries. Because of the convenience of door-to-door delivery, consumers prefer online shopping over physical shopping. Companies that sell their products on the internet nowadays provide superior product quality, which encourages customers to order from a specific website regularly.
The inability to touch and feel the product to check its freshness and durability, as well as the lack of any personalized involvement, are expected to stymie market growth. A growing lack of trust in online payment methods, particularly in emerging economies, is also expected to hamper market growth.
By Type Insights
The vegetables & fruits segment dominates the market with the highest revenue share over the anticipation period.
On the basis of type, the global online grocery market is segmented into vegetables & fruits, staples & cooking essentials, snacks, dairy products, meat & seafood, and others. Among these, the vegetables & fruits segment is dominating the market with the highest revenue share over the anticipation period. Those who are working people don’t have enough time to go to the store or the supermarket. So, buying vegetables & fruits online is the best option, because consumers are increasingly looking for quick and easy solutions to their hectic lifestyles.
By Planform Insights
The app-based segment is witnessing significant CAGR growth through the anticipated period.
On the basis of platform, the global online grocery market is segmented into app-based, and web-based. Among these, the app-based segment is witnessing significant growth through the anticipated period. App-based platforms provide personalized recommendations, location-based offers, and one-touch payment options. App-based platforms are highly appealing to tech-savvy consumers due to the convenience of shopping on the go and push notifications with exclusive deals. Furthermore, through integrated reward programs, app-based platforms may encourage loyalty, resulting in a more engaged customer base.
By Delivery Type Insights
The instant delivery segment is expected to hold the largest share of the global online grocery market during the projection period.
Based on the delivery type, the global online grocery market is classified into scheduled delivery and instant delivery. Among these, the instant delivery segment is expected to hold the largest share of the online grocery market during the projection period. The pandemic has altered habits and working conditions. Work-from-home or hybrid working arrangements have become the new norm. Professionals who work from home appreciate 30-minute or 10-minute delivery because it allows them to get everything from food to groceries, medicines to fruits without leaving their homes. While the instant cart delivery model is generating high levels of customer satisfaction worldwide and emerging as a dynamic business differentiator, it is also raising concerns about viability and sustainability.
By Business Model Insights
The pure marketplace segment accounted for the largest revenue share through the projection period.
On the basis of the business model, the global online grocery market is segmented into pure marketplace, hybrid marketplace, and others. Among these, the pure marketplace segment dominates the market with the largest revenue share through the projection period. The ability to browse and purchase groceries online, and in pure marketplaces provides unparalleled convenience. They allow consumers to shop from multiple vendors on a single platform, improving user experience and fostering loyalty. Aside from that, many pure marketplaces invest in cutting-edge technology to encourage repeat purchases, such as artificial intelligence (AI), personalized recommendations, and robust search features.
Asia Pacific dominates the market with the largest market share over the forecast period.
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Asia Pacific is dominating the market with the largest market share over the forecast period. The regional market is expected to expand because government initiatives in countries such as India and China to promote e-commerce and digitization have contributed to the regional market's growth. China's online grocery market had the largest market share, while India's online grocery market was the Asia-Pacific's fastest-growing market. Furthermore, Asian countries have the longest hours of work, necessitating the need to buy products online in order to save time and effort. As a result, the industry's growth is expected to accelerate.
North America is expected to grow the fastest during the forecast period. This market is expected to grow due to various government initiatives aimed at digitally empowering these nations. This platform is growing steadily in the United States. Several key players, including Walmart, Amazon.com Inc., and Instacart, are all based in North America.
List of Key Market Players
- Walmart Inc.
- Auchan SA
- The Kroger Co.
- TESCO PLC
- com Inc.
- Royal Ahold Delhaize NV
- Blink Commerce Private Limited
- Albertsons Companies, Inc.
- Fresh Direct, LLC.
- OTHER key vendors
Key Market Developments
- On January 2023, J Sainsbury plc. partnered with Just Eat Takeaway, an online food delivery service. This collaboration will result in faster home delivery of groceries.
- In March 2022, Instacart launched "The Instacart Platform," a suite of enterprise-grade technologies aimed at revolutionizing the grocery industry. With this innovative offering, Instacart hopes to empower retailers while also improving the consumer experience by catering to a variety of shopping preferences.
This study forecasts revenue at global, regional, and country levels from 2020 to 2032. Spherical Insights has segmented the global online market based on the below-mentioned segments:
Online Grocery Market, Type Analysis
- Vegetables & Fruits
- Staples & Cooking Essentials
- Dairy Products
- Meat & Seafood
Online Grocery Market, Platform Analysis
Online Grocery Market, Delivery Type Analysis
- Schedule Delivery
- Instant Delivery
Online Grocery Market, Business Model Analysis
- Pure Marketplace
- Hybrid Marketplace
Online Grocery Market, Regional Analysis
- North America
- Rest of Europe
- Asia Pacific
- South Korea
- Rest of Asia Pacific
- South America
- Rest of South America
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of the Middle East & Africa
Frequently Asked Questions (FAQ)
1. What is the market size of the global online grocery market?The Global Online Grocery Market is expected to grow from USD 365.74 billion in 2022 to USD 2827.63 billion by 2032, at a CAGR of 22.69% during the forecast period 2022-2032.
2. Which region is dominating the global online grocery market?Asia Pacific is dominating the global online grocery market.
3. Which are the key companies in the market?Walmart Inc., Auchan SA, The Kroger Co., TESCO PLC, com Inc., Royal Ahold Delhaize NV, Blink Commerce Private Limited, ASDA, Albertsons Companies, Inc., ALDI, Fresh Direct, LLC., and others.
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