Online Grocery Market Size & Analysis (Global Picture Of Online Store Sales)

Online Grocery Market Size & Analysis (Global Picture Of Online Store Sales)

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Updated on 4th Sept, 2017

Online grocery stores are heading for the fast lane- Let’s have a look at online grocery sales statistics, trends and global market.

Angela – Sam, we need to go grocery shopping.

Sam – I have Clippers game coming up and I need to watch it. Can we go tomorrow?

Angela – No, you just watch it later. We had decided to go grocery shopping in the afternoon, which we are going to do.

Sam – Ok, as you say..!!

Sam and Angela go to a local grocery store. They spend the whole afternoon buying groceries, while Sam misses his Clippers game. They come back home all exhausted.

In the near future

Angela – Sam, we need to go grocery shopping.

Sam – I have a Clippers game coming up and I need to watch it. You just go to xyz.com and order the groceries from there.

Angela – Sure, sounds ok.!!

By the time the Clippers game end, the groceries are delivered at the doorstep of Sam and Angela’s home. They did not have to go out, spend the whole afternoon at a local grocery store and peruse over ten aisles of products. They were able to utilize that time in other activities, without worrying about grocery shopping.

The change is currently underway as consumers have started to adopt online grocery shopping. With much of our daily lives moving to the internet, online grocery shopping is being touted as the next big arena for entrepreneurs. The online grocery store sales statistics also showcase the same future.

As of now, it is one of the few sectors which are seeing volcanic growth. There are already murmurs and figures are backing the talks that online grocery sector will achieve better growth than any other ecommerce sector.

Suggested ReadMust have features in an online grocery store

Many brick and mortar grocery stores are already eyeing launch of online outlet in order to avoid redundancy in the near future.

Where does the market stand as of today

Amazon is undoubtedly the reigning king of ecommerce. There does not seem to be anyone else who knows online selling better than Amazon. So when it enters into a new arena, one should get an idea that the sector has huge potential. This is the feeling that everyone started to get when Amazon started offering online grocery shopping.

If we look at online grocery market analysis, in 2016, online purchases of fresh groceries and consumer packaged goods enjoyed a 36% year-over-year growth spurt. This tremendous growth has shattered all the projections and expectation, triggering a race among entrepreneurs looking to launch their own online grocery store.

As this booming industry is growing at a rapid pace, it is all about the first respondents who would be able to grab the larger piece of the revenue.

Online shopping has matured enough and consumers have become accustomed to buying things online. This has removed the hurdles faced by other ecommerce sectors in past where they had to first earn the trust of consumers. The best part of online grocery shopping is that consumers can easily select delivery slots preferred by them. This results in timely delivery of products as per the requirement of the consumers.

Suggested Read – Online Grocery business essentials for 2017

What is the future of online grocery shopping

grocery store market analysis

There are several reports that suggest that online grocery in the US alone could grow five folds over the next decade, where consumers are expected to spend upwards of $100 billion. This figure is massive and the same is being observed all across the globe.

While currently only 14% American households are buying groceries online, in the next year, this figure could jump up to 70 percent. This makes the current period as the best time to launch a fully-fledged online grocery store.

The online grocery store market analysis state that by the end of 2017, nearly 20 million new consumers will adopt online grocery shopping. Out of them, 85% would be willing to use at-home delivery while the rest would go for in-store pickup. Amazon  Go is one such example of the latter where people just walk-in and pick up the product they want without worrying about standing in the queue for payment. Walmart is also working on a similar pattern, where people just order their products online and go to large towers present in their stores and pick up their orders, totally avoiding the queue.

Retailers providing a formidable website experience and convenience to consumers in delivering the grocery will have to put little or no effort in expanding their user base. Already numerous online grocery stores have received funding amounting to millions of dollar from VCs. Most of them are doubling down on this sector with an aim to capture the bulk of the market

 Conclusion

The bottom line? In the next few years, you will see less of people in the offline stores as most of the shopping will be done online. As we bring better delivery methods like the use of drones and robust logistics, online grocery shopping will become a walk in the park. For those who missed out of encashing when the ecommerce saw an immense boom a few years ago, online grocery shopping is presenting the same opportunity now. The tide is perfect for anyone to start their own online venture by using a ready-to-launch solution.

Know How Much an Online Grocery Store will Cost You

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