Market Size statistics on the Supermarkets & Grocery Stores industry in the US

Grocery store sales have grown dramatically since the 90’s. Since 1992, sales have more than doubled. The total sales generated by grocery stores in the United States in 2024 amounted to ***** billion U.S. dollars. Top Supermarket Chains The U.S. grocery retail market is dominated by chain supermarkets. In 2018 there were around ****** chain supermarket locations in the United States, compared to only ***** independent supermarkets. The leading American supermarket in terms of sales is the Kroger Company, which owns and operates several smaller supermarket chains across the United States. In 2023, Kroger’s total retail sales reached close to *** billion U.S. dollars. The runner-up, Albertsons, generated some **** billion U.S. dollars in sales that year. Americans at the Grocery Store Going to the grocery store is a familiar and comforting ritual for many Americans. In 2017, a survey of American households found that ** percent of Americans make a weekly trip to the grocery store, while some *** percent went to the grocery store four to seven times in a week. Although many products on the shelves of U.S. supermarkets claim to have various health benefits or that they were produced or sourced ethically, American consumers are most drawn to food products that claim to be fresh or farm-fresh.

Supermarkets and grocery stores have significantly transformed in recent years, driven by technological advancements and shifting consumer preferences. E-commerce has become a cornerstone of the industry, with over 70.0% of grocery retailers integrating online ordering and fulfillment into their operations in 2025. This shift has been fueled by consumer demand for convenience and efficient shopping experiences, prompting retailers to invest heavily in curbside pickup and home delivery services. Major players like Kroger have leveraged these innovations to maintain a competitive edge, while third-party delivery platforms like Instacart have enabled smaller grocers to compete with larger chains. The adoption of "dark stores" and AI-driven technologies has further optimized operations but heightened competition has limited revenue expansion. Over the past five years, revenue has been slipping at a CAGR of 0.1%, reversing course in 2025 to climb 1.1%, reaching $883.1 million. Over the past five years, the industry has faced rising labor costs and competition from discount grocers and private-label products. Automation has played a crucial role in managing these pressures, with more than 50.0% of transactions in major chains processed through self-checkout systems in 2025. Despite these advancements, wages have continued to rise, accounting for an estimated 10.7% of revenue. This has led retailers to focus on strategic pricing and the promotion of high-margin private-label products to sustain profit. The proliferation of discount grocers like Aldi and Lidl has intensified competition, forcing traditional supermarkets to innovate and adapt to retain market share. Looking ahead, supermarkets and grocery stores are likely to endure steady but marginal revenue growth over the next five years, influenced by economic and demographic factors. Increases in per capita disposable income and consumer spending suggest a stable economic environment that could bolster sales of premium and specialty grocery items. However, declines in the agricultural price index may pressure revenue growth, as lower prices could reduce sales value. Urban population growth will continue to drive demand for grocery products, encouraging retailers to adopt urban-centric strategies. Upcoming FDA regulations on product labeling and ongoing geopolitical tensions will present challenges and opportunities for the industry. Retailers that can navigate these complexities and align with evolving consumer preferences, such as the rise of functional foods and the "quiet luxury" trend, will be well-positioned to thrive in a rapidly changing market landscape. Revenue is anticipated to expand marginally over the next five years at a CAGR of less than 0.1%, totaling $883.3 million in 2030.

Global Food And Grocery Retail market size is expected to reach $14586.54 billion by 2029 at 3.4%, segmented as by fresh food, fruits and vegetables, meat and poultry, dairy products, bakery items

In 2021, the market size of grocery retail for the unorganized (kirana led) segment amounted to *** billion U.S. dollars. In comparison, the market size of the organized (modern trade) segment amounted to ** billion U.S. dollars in India. The overall market size of grocery retail was worth *** billion U.S. dollars in India.

In 2023, the food and grocery market size in India amounted to about 50 trillion Indian rupees. The market size will likely increase to over 67 trillion rupees by 2027.

The Zero Waste Grocery Stores Market is Segmented by Store Format (Stand-Alone Zero-Waste Stores, In-Store Refill Corners and More), Product Category (Food Staples, Fresh Produce and More), Packaging Model (Bulk Dry Dispensing, Liquid Refill Stations and More), Distribution Channel (Offline and Online), Consumer Demographic ( Millennials, Generation Z and More), Geography ( North America, South America, and More).

Global Food And Grocery Retail market size 2025 is $12836.4 Billion whereas according out published study it will reach to $16841.8 Billion by 2033. Food And Grocery Retail market will be growing at a CAGR of 3.453% during 2025 to 2033.

According to Cognitive Market Research, the global Grocery Store market size will be USD XX million in 2024. It will expand at a compound annual growth rate (CAGR) of 8.80% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.0% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.3% from 2024 to 2031.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 10.8% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.2% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.5% from 2024 to 2031.
The Retail Chain category is the fastest growing segment of the Grocery Store industry

Market Dynamics of Grocery Store Market

Key Drivers for Grocery Store Market

Growing Consumer Interest in Organic and Fresh Foods to Boost Market Growth

The market for grocery stores is significantly influenced by consumers' increased interest in fresh and organic foods. Organic vegetables, dairy, meats, and other minimally processed foods are becoming more and more popular among health-conscious consumers because of their perceived quality, environmental impact, and health benefits. Growing consumer awareness of pesticide use, genetically modified organisms, and additives has led them to favour products with organic labels and those supplied locally. In response, grocery stores have increased the variety of organic products they provide and established special areas, which draw in a devoted clientele and strengthen their brand identity. This change further supports the expansion of the grocery business by being in line with trends toward eco-friendly and sustainable practices.

Growth of Private Label Goods to Drive Market Growth

As private label items provide merchants with larger profit margins and competitive pricing, their expansion is a key factor in the grocery store industry. Store-branded private labels are popular among budget-conscious shoppers seeking high-quality substitutes for national brands. More control over pricing and production allows supermarkets and grocery stores to customize products to consumer tastes and new trends, such as organic or gluten-free options. Because consumers are drawn to unique products that aren't found anywhere else, private labels also encourage customer loyalty, which eventually improves store distinction and boosts total grocery sector sales.

Restraint Factor for the Grocery Store Market

Increasing Online Retailer Competition Will Limit Market Growth

The grocery store sector is being restrained by the growing competition from online retailers, as customers are attracted to the ease of online shopping and doorstep delivery. With their extensive assortment, affordable costs, and easy-to-use platforms that simplify shopping, e-commerce behemoths and grocery delivery services are alluring substitutes for conventional grocery stores. Due to this change, fewer people are visiting physical businesses, particularly younger, tech-savvy shoppers. Online merchants also frequently provide subscription-based discounts and tailored promotions, which help them gain market share. Digital trends are difficult for traditional grocery stores to adopt, which may hinder their expansion and financial success.

Key Trends for

Grocery Stores

Sustainability and Eco-Friendly Initiatives: Consumers are increasingly favoring retailers that are dedicated to minimizing plastic consumption, food waste, and carbon emissions. Grocery stores are embracing sustainable packaging, providing locally sourced produce, and establishing recycling initiatives to resonate with eco-conscious consumer values and ESG (Environmental, Social, Governance) criteria.

Personalization Through Data Analytics and Loyalty Programs: Retailers are utilizing purchase hist...

Online grocery sales have surged as online shopping has shot up. The surge in the popularity of online shopping, along with an increase in per capita disposable income and consumer spending, contributed to significant revenue growth for the industry. Overall, industry revenue will climb at a CAGR of 16.3% over the five years to 2024 to reach an estimated $43.3 billion in 2024, including expected growth of 4.3% in 2024. Over the past five years, strengthening incomes and climbing food prices have benefited online grocery sales. Sensing heightened demand for internet-based delivery services, major companies like Amazon and Walmart have scaled up their industry-relevant operations and captured much of this rising demand. Meanwhile, a new group of highly focused online grocers, including Door-to-Door Organics, have targeted niche markets across the United States by selling organic and other specialty groceries online. Moving forward, online grocery services will continue to enjoy revenue growth through the end of 2029, though at a muted pace when compared to the previous five years. Competition from brick-and-mortar grocery stores will continue to pressure the industry as many consumers prefer to shop for groceries, specifically produce, in person to assess the quality. Online grocers will invest in advanced technology to attempt to strengthen operational efficiency and reduce consumer hesitations. The use of drones for delivery and virtual reality will be key trends over the next five years. Price competitiveness will also climb, contributing to declining profit. Over the five years to 2029, industry revenue will expand at a CAGR of 3.5% to reach an estimated $51.5 billion in 2029.

Supermarkets and grocery stores have endured a transformative journey since 2019, shaped by the pandemic, geopolitical tensions and an ever-changing market landscape. Grocers first encountered unprecedented demand as lockdowns redirected consumers' spending from entertainment to at-home essentials. Sales spiked, but the boom was fleeting; by 2021, factors like declining disposable income and soaring food prices reversed the trend. Even post-pandemic, the industry is evolving—more consumers than ever are embracing online grocery shopping, prompting traditional retailers to bolster their digital presence. Those unable or unwilling to adapt were largely forced out, while the largest supermarket chains maintained dominance through aggressive merger and acquisition activity and by leveraging vertically integrated operations. This momentous period caused heightened revenue volatility that still persists. Revenue has been rising at a CAGR of 0.1% over the past five years and is expected to dip 0.9% in 2024 when revenue will reach $111.9 billion. Amid this transformation, significant profit disparities worsened in an incredibly concentrated industry. Geopolitical instabilities like the war in Ukraine intensified supply chain disruptions, impacting costs for retailers. Rising energy prices compound this issue, squeezing profit as transportation expenses mount. Meanwhile, climate change injects further unpredictability into production costs, forcing grocers to manage these pressures by cautiously adjusting consumer prices. A class-action lawsuit against Loblaw Cos. Ltd. underscores market concentration challenges, spotlighting potential anti-competitive behaviours and their implications. This legal scrutiny, combined with governmental pressure for price transparency, could foster a more equitable marketplace. Should dominant players like Loblaw adjust their pricing strategies, it may level the playing field for smaller competitors, expanding competition and consumer choice. Over the next five years, a stable economic backdrop will support modest revenue growth for supermarkets. As disposable incomes stabilize, a return to preferred brands could uplift grocers' revenue. A more tempered rise in food prices will allow for strategic pricing decisions, providing grocers with a favourable environment for maintaining consumer loyalty. Technological advancements will be pivotal, with retailers expected to deepen investments in e-commerce and in-store technologies like AI-powered inventory management. This investment will be crucial as online grocery shopping and big-box retailers thrive. Governmental regulatory efforts may also reshape industry dynamics, offering smaller grocers a greater chance to compete by enhancing pricing equity. Continued inventory diversification reflecting health-conscious consumer preferences will likely continue, driven by rising interest in plant-based and ethical products. Retailers that navigate these shifts adeptly, leveraging both technology and emerging consumer trends, are poised to gain a competitive edge. Revenue is forecast to climb at a CAGR of 1.7% over the next five years, reaching $122.0 billion in 2029.

The Online Grocery Market will grow at a CAGR of 24.6% during the forecast period, with an estimated size and share crossing USD 1,894.15 billion by 2030.

Snapshot img

India Grocery Market Size 2025-2029

The India grocery market size is forecast to increase by USD 352.8 billion, at a CAGR of 8.5% between 2024 and 2029.

The India Solar Power Market is segmented by Platform (Offline, Online), product (Food Grains, Bread Bakery and Dairy Products, Fruits and Vegetables, Personal Care, Others), Method (Online Payments, Cash on Delivery), and Geography (APAC: India). This segmentation reflects the market's diversity, driven by increasing demand for food grains and fruits and vegetables in India, growing adoption of online platforms with online payments for convenience, and the continued reliance on Cash on Delivery for offline purchases to meet regional consumer preferences across the APAC region.
The grocery market is experiencing a significant shift towards online shopping, with m-commerce seeing particularly rapid growth. This trend is driven by the convenience and time savings offered by online platforms, as well as the increasing availability of delivery and pick-up options. Convenience stores and convenience-focused grocery stores offer a wide range of household goods and quick meal solutions. However, end-users exhibit mixed perceptions towards this mode of shopping, with some expressing concerns over product quality and freshness. Another key trend in the market is the rising demand for functional foods and beverages, as consumers prioritize health and wellness. This shift is expected to continue, with an increasing number of players introducing new product offerings to cater to this demand. 
Despite these opportunities, challenges remain, including the need to ensure product quality and freshness in the online channel, as well as the increasing competition and pressure to differentiate offerings. Companies seeking to capitalize on market opportunities and navigate challenges effectively must focus on delivering high-quality products, providing excellent customer service, and leveraging technology to enhance the shopping experience. Machine learning and artificial intelligence are being integrated to improve product placement, customer segmentation, and demand forecasting. 

What will be the size of the India Grocery Market during the forecast period?

Request Free Sample

In the dynamic grocery market, store formats continue to evolve, with local sourcing gaining traction as consumers seek fresher produce and reduced food miles. Grocery pickup and delivery services, including online ordering and same-day delivery, are increasingly popular, driven by consumer convenience and the ongoing pandemic. Food waste management and safety are top priorities, with voice ordering and precision agriculture technologies helping to minimize waste and ensure food safety. Virtual reality shopping and augmented reality experiences enhance the customer experience, while retail analytics and customer insights provide valuable data for pricing strategies and product assortment decisions. The circular economy is a growing trend, with emphasis on food security, automated checkout, and alternative protein sources.
Urban farming and labor shortages are also influencing market dynamics, as retailers explore innovative solutions to meet demand. Plant-based foods and pricing strategies remain key areas of competition, with retailers leveraging digital shelves and retail analytics to optimize offerings and stay competitive.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Platform

  Offline
  Online


Product

  Food grains
  Bread bakery and dairy products
  Fruits and vegetables
  Personal care
  Others


Method

  Online payments
  Cash on delivery


Geography

  APAC

    India

By Platform Insights

The offline segment is estimated to witness significant growth during the forecast period. The grocery market in the US is witnessing significant trends and advancements, enhancing the shopping experience for consumers. Grocery pickup and delivery services, such as click and collect and food delivery, are increasingly popular, offering convenience and time savings. Price transparency is a key focus, with many retailers employing competitive pricing strategies to attract customers. Store layouts are evolving, with an emphasis on fresh produce, household goods, and meal kits. In-store kiosks and mobile apps enable customers to access predictive analytics and personalized product recommendations. Supply chain optimization and inventory management are essential for maintaining product availability and reducing food waste.

Specialty stores catering to health and wellness, natural foods, and organic produce are growing in popularity. Private label products and subscription services are also gaining

In 2025, the leading grocery stores in the United States held close to two thirds of the total industry market share. Walmart held the top position with **** percent, followed by Kroger at just under **** percent. Kroger Co. As one of the leading supermarket chains, Kroger has been become a favorite among consumers. Founded by Bernard Kroger in 1883, the company opened its first store in Cincinnati, Ohio and now operates more than ***** grocery retail stores in the United States. Grocery shopping behavior Among the diverse options for food acquisition, supermarkets and superstores are the preferred for consumers. Even though online grocery shopping is on the rise, it is still not up to par with warehouse clubs or discount stores. When it comes to frequency, grocery shopping trips have decreased since the early 2000s, perhaps to adapt to economic pressures like inflation, which has drastically changed the way consumers shop.

European supermarkets’ revenue is forecast to grow at a compound annual rate of 4.5% over the five years through 2024 to reach €1.6 trillion. A handful of supermarkets dominate each country, with the only new entrants being well-established supermarkets looking to expand to new regions – independents struggle to grab market share from the well-entrenched stores. Soaring operating costs, driven by purchase price and wage, are eating into the profitability of supermarkets. For many supermarket executives, scaling e-commerce operations has taken a backseat as they seek to combat falling sales volumes and downtrading, with customers foregoing brands for value or own-brand products. Consumer preferences for organic produce and premium products have also been sidelined during the cost-of-living as customers tighten their purse strings. Price inflation is expected to push revenue up by 2.6% in 2024. Over the five years through 2029, supermarkets’ revenue is slated to climb at a compound annual rate of 0.9% to €1.6 trillion. As disposable incomes recover from the cost-of-living crisis, consumers will switch back to organic and premium produce will return and demand for convenient shopping experiences will intensify. Expanding e-commerce offerings will be central to many supermarkets’ strategies as they look to widen their sales channels. Investment will be required to fully automate warehouse procedures, such as with automated picking and depalletising, as will decarbonising fleets. Advances in analytics, Generative AI and automation will help minimise costs in what is already a tight operating model for many grocery retailers, giving some relief to profitability. Sustainability will move to the forefront of supermarkets’ decision-making process when they select new suppliers as green concerns continue to mount.

The global food and grocery retail market is expected to grow from USD 12.8 trillion in 2025 to USD 17.7 trillion by 2035, reflecting a CAGR of 3.3%. The food and grocery retail market is growing rapidly due to several important factors. Increasing urbanization is a major driver as more people move to cities, which boosts demand for organized retail formats like supermarkets and hypermarkets.

Country wise Insights

Supermarkets have had to adapt to changes in consumer behaviour and competition from online retailers in recent years. The supermarket industry in France is dominated by a number of large supermarket chains, which are experiencing increasing competition from online-only retailers like Amazon Fresh. Thanks to the expansion of its omnichannel strategy, Drive, the market leader, is also leading the way in the click-and-collect food sector with offerings like Leclerc Drive or Carrefour Drive. Customers can purchase online and collect the ordered goods from a drive-in counter at an agreed time. Many start-ups also specialise in fast home delivery of food products and compete with supermarkets. However, providers like Gorillas are primarily active in large cities. Revenue is expected to grow by 1.1% to €276.3 billion in 2025. Between 2020 and 2025, industry revenue has increased at a compound annual rate of 0.6%, although high inflation has reduced consumers' willingness to spend. Despite the lower sales volume, supermarkets recorded a slight revenue growth resulting from higher consumer prices. High consumer prices are prompting more and more consumers to buy supermarkets' private-label products at low prices or to do all their shopping at discounters like Lidl. Sustainability aspects, technological innovations and private labels will shape supermarkets' product range and strategy in the coming years. Industry revenue is expected to climb at a compound annual rate of 2.3% to €309.8 billion through 2030. To remain competitive in this fiercely contested market, supermarkets must invest in new technologies to improve the customer shopping experience and retain loyalty.

In 2021, the online grocery market in Southeast Asia amounted to *** billion U.S. dollars. It was forecast to continuously grow and reach **** billion U.S. dollars by 2026.

Employment statistics on the Supermarkets & Grocery Stores industry in the US

Snapshot img

Instant Grocery Market Size 2025-2029

The instant grocery market size is forecast to increase by USD 131 billion, at a CAGR of 16% between 2024 and 2029.

The market is experiencing significant growth, driven by the increasing adoption of technology and changing consumer preferences. With the rise of online grocery shopping, consumers now demand greater order transparency and convenience. This trend is pushing grocery retailers to invest in advanced technologies such as artificial intelligence, machine learning, and automation to streamline operations and enhance the customer experience. However, keeping pace with these technological advancements poses a challenge for many players in the market. As new technologies emerge, companies must continuously adapt and innovate to remain competitive.
Additionally, ensuring seamless integration of these technologies with existing systems and processes can be a complex undertaking. To succeed, grocery retailers must prioritize digital transformation initiatives and invest in the right technologies to meet evolving consumer demands and stay ahead of the competition.

What will be the Size of the Instant Grocery Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
Request Free Sample

The market continues to evolve, with dynamic market dynamics shaping its various sectors. Integral components, such as pick and pack, cold chain logistics, and dietary restrictions, are seamlessly integrated into the market's fabric. Organic produce, mobile ordering, and sustainable packaging are gaining traction, as consumers prioritize health and environmental concerns. Dairy products, pet food, personal care products, and household goods are among the numerous categories experiencing growth. Food waste reduction and subscription boxes are innovative solutions addressing sustainability and convenience. Last-mile delivery, seafood delivery, and meal kits cater to diverse consumer preferences. Warehouse automation, nutritional information, and meal kits are revolutionizing order fulfillment and inventory management.

Fresh produce delivery, frozen foods, and bakery goods are enhanced by advanced technologies, ensuring optimal quality and freshness. Customer service, pricing strategies, and targeted advertising are crucial elements in the market's competitive landscape. Data analytics, customer reviews, and promotional offers are essential tools for understanding consumer behavior and preferences. Baby products, e-commerce platforms, API integration, and food safety standards are additional facets of the market's intricate ecosystem. The ongoing unfolding of market activities underscores the need for continuous adaptation and innovation.

How is this Instant Grocery Industry segmented?

The instant grocery industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product

  Nonfood products
  Food products


Delivery

  Home delivery
  Click and collect


Type

  One-time purchasers
  Subscribers


Geography

  North America

    US


  Europe

    France
    Germany
    Italy
    UK


  APAC

    Australia
    China
    India
    Japan
    South Korea


  Rest of World (ROW)

By Product Insights

The nonfood products segment is estimated to witness significant growth during the forecast period.

In the evolving grocery market, non-food products, including toiletries, bathroom cleaners, and kitchen supplies, hold a larger share than food items. With rising employment rates and income levels, consumers' lifestyles have changed, leading to an increased demand for convenience. This trend is driving the growth of instant grocery services, offering time-pressed individuals the ability to order non-food essentials online for delivery or pick-up. Cold chain logistics ensures the freshness and quality of these items, while mobile ordering and application development streamline the shopping experience. Dietary restrictions and preferences are catered to with organic produce and specialized offerings. Sustainable packaging and food waste reduction are also key considerations, appealing to eco-conscious consumers.

Pet food, personal care products, and household goods are essential categories within the non-food segment. Meal kits, frozen foods, and subscription boxes provide additional convenience for busy consumers. Payment gateways, inventory management, and customer service ensure a seamless shopping experience. Warehouse automation and last-mile delivery optimize operations, while food safety standards maintain product quality. Fresh produce delivery, dairy products, and meat and poultry are offered alongside canned go