The Worldwide Online Grocery Industry is Expected to Reach $2.1 Billion by 2030 - ResearchAndMarkets.com

DUBLIN--(BUSINESS WIRE)--The "Online Grocery Market Size, Share & Trends Analysis Report by Product Type (Fresh Produce, Breakfast & Dairy, Snacks & Beverages, Staples & Cooking Essentials), by Region, and Segment Forecasts, 2022-2030" report has been added to ResearchAndMarkets.com's offering.

The global online grocery market size is expected to reach USD 2,158.53 billion by 2030, growing at a CAGR of 25.3% from 2022 to 2030.

Companies Mentioned

• Aeon Co. Ltd.
• Alibaba.Com
• Amazon.Com, Inc.
• Blinkit (Formerly Grofers)
• Instacart
• Jd.Com, Inc.
• Natures Basket Limited
• Rakuten
• Reliance Retail (Reliance Fresh)
• Supermarket Grocery Supplies Pvt. Ltd. (Bigbasket)
• Target Brands, Inc.
• Tesco.Com
• the Kroger Co.
• Walmart

The changing consumer behavior, the growing preference for contactless shopping and adherence to social distancing norms, and a paradigm shift toward buying fresh food and grocery online, particularly in the wake of the outbreak of the COVID-19 pandemic, are some of the major factors that are expected to drive the growth of the market over the forecast period.

Continued urbanization, the rising number of tech-savvy consumers, and the unabated growth of the e-commerce industry worldwide have been driving consumer preference toward buying the essentials over the internet. Easy access to a myriad of products from different vendors, ease of ordering, seamless digital payments, attractive offers, such as discounts and cashback, and convenient and flexible delivery have also been encouraging consumers to consider e-commerce channels for buying the essentials. As a result, online penetration in grocery shopping increased three folds as of the end of 2020 from the pre-pandemic levels.

The rise of shopping subscriptions is another factor driving the growth of the market. Almost every major market player is offering a subscription option for consumers. For instance, in the U.S., Kroger Co. offers a USD 79 annual subscription program known as the "Delivery Savings Pass". The program envisages waiving the fees worth USD 10 the company usually charges for delivery, albeit the orders need to be of USD 35 or more. Similarly, Walmart's Walmart+ membership program also charges customers USD 98 per year for free delivery on all grocery orders worth more than USD 35.

In India, leading market players, such as BigBasket and Blinkit (formerly Grofers), have been playing a niche role in driving the adoption of subscription services rapidly. For instance, BigBasket's BB Star Membership program starts at USD 3.92 (INR 299) for six months and allows customers to avail of free delivery, cashback, and access to priority slots. The benefits associated with such subscription services are expected to help online grocers in building trust among customers, and subsequently, encourage more customers to opt for the annual subscription services, thereby driving the growth of the market over the forecast period.

The outbreak of the pandemic has played a decisive role in driving the preference for ordering groceries online. While some individuals opted for the e-commerce channel for convenience, others opted for the same to enjoy a user-friendly shopping experience. However, factors, such as the lack of any personalized involvement and the inability to touch and feel the product to check its freshness and durability are expected to hinder the market growth. A looming lack of trust in online payment methods, especially in emerging economies, is also expected to restrain the growth of the market.

Online Grocery Market Report Highlights

• The staples & cooking essentials segment accounted for the largest market share in 2021 and is expected to continue dominating the market over the forecast period.
• The fresh produce segment is anticipated to grow at a CAGR of over 24% from 2022 to 2030.
• Asia Pacific is expected to grow at a CAGR of almost 28% as a result of the convenience associated with online grocery shopping in the wake of the busy lifestyle.
• Key market players are pursuing inorganic growth strategies, such as strategic partnerships and collaborations, and mergers & acquisitions, among others, to tap untapped markets.

Key Topics Covered:

Chapter 1 Methodology and Scope

Chapter 2 Executive Summary

Chapter 3 Online Grocery Industry Outlook

3.1. Market Segmentation

3.2. Value Chain Analysis

3.3. Market Dynamics

3.3.1. Market Driver Analysis

3.3.2. Market Restraint/Challenge Analysis

3.3.3. Market Opportunity Analysis

3.4. Penetration & Growth Prospects Mapping

3.5. Industry Analysis-Porter's Five Force Analysis

3.6. PEST Analysis

Chapter 4 Online Grocery Market: Product Type Outlook

Chapter 5 Online Grocery Market: Regional Outlook

Chapter 6 Competitive Landscape

For more information about this report visit https://www.researchandmarkets.com/r/djx26b