This statistic highlights online grocery shopping sales in the United States from 2019 through 2024. The U.S. online grocery market was estimated to generate sales worth of about **** billion U.S. dollars in 2020, with sales forecast to reach ***** billion U.S. dollars by 2024. Among the leading online food and beverage retailers in 2016, were Amazon and Walmart. Online grocery shoppingGrocery sales through online platforms represent a very small part of the overall grocery retail market, but are amongst the fastest growing segment. Some people don’t enjoy the hassle of traditional grocery shopping, especially to stand in a queue before check-out. If consumers use the convenience of an online grocery service, they can pick their everyday products on the distributor’s website and will get the chosen items delivered right to their doorstep, which saves time. Most online suppliers in the United States provide same-day delivery options. During the last years, more and more firms tried to gain a foothold within the e-grocery industry. Companies engaged in the U.S. online grocery market include AmazonFresh, FreshDirect, NetGrocer, Walmart and Safeway. A relatively new and innovative business model is supplied by Instacart. The San Francisco-based company is a grocery transport service that delivers the grocery order through personal shoppers in *** to *** hours. As of February 2015, Instacart charged **** U.S. dollars per two-hour deliveries and ***** U.S. dollars per one-hour deliveries. The personal shoppers purchase the chosen items at different local food stores and deliver them to your house within the agreed time window. The use of virtual grocery stores has still a large growth potential as more and more time-strapped consumers are looking for innovative ways to make their lives easier. However, a significant hurdle for online grocers remains freshness as many customers still prefer to see and touch the produce before purchase.

In 2023, Walmart's online sales were estimated at **** billion U.S. dollars. According to forecasts, the U.S.-based multinational retail corporation's e-commerce sales were to further increase in the coming years, reaching **** billion dollars by 2024. In addition, Walmart's marketplace gross merchandise volume growth was *** percent in 2020. This unprecedented growth in the digital segment was largely due to the COVID-19 pandemic.

Sales from grocery delivery and pickup in the United States have shown some growth and later fluctuations during the reported period. Online grocery sales initially surged in 2020 as a result of the COVID-19 outbreak. In August 2019, sales were 1.2 billion U.S. dollars and grew to four billion dollars in March of 2020, a 233 percent increase. December 2022 saw the highest sales figures at 7.6 billion U.S. dollars. As of May 2023, online grocery deliveries and in-store pickups reached 5.7 billions dollars.

Online Grocery Delivery market, online grocery delivery market size, online grocery delivery market trends and forecast, online grocery delivery market risks, online grocery delivery market report

In 2023, Amazon's e-grocery sales were valued at approximately **** billion dollars. Forecasts indicate that online grocery sales by the U.S. e-commerce corporation will continue to increase, amounting to **** billion U.S. dollars by 2024.

In 2015, China was the world leader in terms of market value of online grocery shopping, and they are expected to retain that position in 2020. Over that time period, the value of the Chinese market is expected to quadruple. This reflects the general trend of online grocery shopping taking a larger percentage of the grocery market each year. The grocery landscape Online grocery shopping is facilitated either by brick-mortar-supermarkets offering pick-up and delivery as a feature of multi-channel retailing (selling both in traditional offline channels as well as online outlets), or by standalone e-commerce retailers. China’s strengths The size of China’s online grocery market can be explained both by demographics and technological adoption rates. China currently has the largest population in the world and, after India, has over **** times the population of the next largest country, the United States. More importantly, it has the highest online shopping penetration rate and the most e-commerce sales as percentage of total retail sales of any country in the world.

The global Online Grocery Market was valued at USD 54.51 Billion in 2024 and is expected to reach USD 173.67 Billion by 2030 with a CAGR of 21.36% during the forecast period.

The China online grocery market was valued at USD 184.45 Billion in 2024 and is expected to grow at a CAGR of 26.70% during the forecast period of 2025-2034. Surging demand from Tier III and IV cities, supported by government-backed rural digitisation programmes, is driving app-based grocery penetration and reshaping delivery economics for e-grocery firms beyond first-tier metro cities, aiding the market to attain a value of USD 1966.28 Billion by 2034.

Factors like digitised consumer habits and state-supported infrastructure along with the e-commerce and retail sector are also accelerating the market growth. As per the China online grocery market analysis, the country was the largest e-commerce market in 2021 with sales of over 1.5 trillion. The e-commerce industry is also being aided by the supportive policies of the Chinese government, which have been especially effective in the rural areas. Although the e-commerce industry is dominated by apparel and footwear, online grocery indicates fast-paced growth.

Platforms like Pinduoduo and JD.com are deepening their roots in Tier-2 and Tier-3 cities, capitalising on 80% smartphone penetration and improved cold chain logistics. According to the National Bureau of Statistics, the rural online retail sales of agricultural products alone surged by 20.1% YoY in 2023, which further indicates the China online grocery market growth.

In addition, green lanes for agri-delivery and government-funded smart warehousing have shortened lead times, allowing for faster, fresher groceries to reach doorsteps, boosting the demand in the market. Hence, the Chinese industry can be characterised by technology, policy, and user behaviour that favours B2B strategists who are looking to tap into scalable, digital-first supply chains.

The online grocery market will grow from $561.3 Bn in 2025 to $887.7 Bn by 2035 at a 22.1% CAGR, driven by demand for convenience and fast home delivery.

The global online food and grocery retail market size was valued at USD 182 billion in 2020 and is projected to reach USD 530 billion by 2028, exhibiting a CAGR of 14.3% during the forecast period (2021-2028). The increasing internet and smartphone penetration, coupled with the rising adoption of e-commerce platforms, are the primary factors driving the growth of the market. Moreover, changing lifestyles, hectic work schedules, and the convenience of online shopping are further contributing to the market expansion. The market is highly competitive with the presence of established players like Walmart, Amazon.com, The Kroger Co., and The Home Depot. Regional analysis unveils that North America held the dominant share in the global online food and grocery retail market in 2020. The region's well-developed e-commerce infrastructure, high internet and smartphone penetration, and the presence of major players are the key factors attributing to its dominance. The Asia-Pacific region is expected to exhibit the fastest growth over the forecast period due to the increasing internet and smartphone penetration, rising disposable income, and growing adoption of e-commerce platforms in emerging economies like China and India.

After threefold growth from 2019 to 2020 due to the coronavirus pandemic, InstaCart's annual sales are expected to increase at a much slower pace in the United States. In 2021, the grocery delivery service generated about ** billion U.S. dollars in sales. By 2024, the company's sales in its home market could reach **** billion U.S. dollars.

Saudi Arabia Online Grocery Delivery market was valued at USD 1.65 Billion in 2024 and is expected to grow to USD 4.98 Billion by 2030 with a CAGR of 20.21%.

The global e-grocery market is expected to grow at a CAGR of 19.0% and is anticipated to reach around USD 114,923.8 million by 2026.

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The online retail market share in the US is expected to increase to USD 460.13 billion from 2021 to 2026, and the market’s growth momentum will accelerate at a CAGR of 11.64%.

The report extensively covers online retail market in the US segmentation by the following:

Product - Apparel, footwear, and accessories, consumer electronics and electricals, food and grocery, home furniture and furnishing, and others
Device - Smartphones and tablets and PCs

The US online retail market report offers information on several market vendors, including Amazon.com Inc., Apple Inc., Best Buy Co. Inc., Costco Wholesale Corp., eBay Inc., Kroger Co., Target Corp., The Home Depot Inc., Walmart Inc., and Wayfair Inc. among others.

This online retail market in the US research report provides valuable insights on the post COVID-19 impact on the market, which will help companies evaluate their business approaches.

What will the Online Retail Market Size in the US be During the Forecast Period?

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Online Retail Market in the US: Key Drivers, Trends, and Challenges

The growing seasonal and holiday sales is notably driving the online retail market growth in the US, although factors such as transportation and logistics may impede the market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the online retail industry in the US. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.

Key US Online Retail Market Driver

The growing seasonal and holiday sales is one of the key drivers supporting the US online retail market growth. For instance, from November 1 to December 24, e-commerce sales in the US increased by 11% in 2021, when compared to a massive 47.2% growth in the holiday season of 2020. E-commerce sales made up 20.9 % of total retail sales in the holiday season of 2021, slightly higher than 20.6 percent in 2020. Thanksgiving, Black Friday, and Cyber Monday are the days that see a high amount of online shopping. Apparel, footwear and accessories, consumer electronics, computer hardware, and toys are the largest gaining product categories during the holiday season. Consumers in the US spent $204.5 billion online in November and December 2021, up 8.6% over the same period in 2020. Such exciting sales and offers are driving the market growth.

Key US Online Retail Market Trend

Omni-channel retailing is one of the key US online retail market trends fueling the market growth. It is rapidly becoming the norm for many retailers in the US. It offers consumers the option to shop online and pick up the merchandise from the store nearest to their location on the same day. Retailers are observing a high web influence on their in-store sales. For instance, Best Buy is integrating its offline and online stores to boost revenues. As a part of its omnichannel strategy, the retailer is utilizing physical stores as distribution centers for online purchases. According to Best Buy, 40% of its online shoppers prefer picking up their purchases from physical stores. Best Buy also challenges online and discount retailers with its match-to-price strategy, claiming to offer gadgets at or below the price offered by competitors. Such strategies are expected to boost market growth during the forecast period.

Key US Online Retail Market Challenge

Transportation and logistics are some of the factors hindering the US online retail market growth. Product procurement or sourcing, shipment of ordered items, and delivery to customers are the three major processes where the intervention of transportation and logistics come into the picture. All these processes require a high investment of both time and money, which challenges the efficiency and effectiveness of retailers and their costing strategies. The higher cost incurred from transportation and logistics reduces the margin of retailers, and most of the time, retailers are unable to break even. Between rising fuel prices, driver shortages, as well as a governmental and societal push for increased digitization and sustainability, transport and logistics will continue to be under a lot of pressure. Such factors will negatively impact the market growth during the forecast period.

This online retail market in the US analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.

Who are the Major Online Retail Market Vendors in the US?

The report analyzes the market’s competitive landscape and offers information on sever

European supermarkets’ revenue is forecast to inch upwards at a compound annual rate of 0.6% over the five years through 2025 to reach €1.7 trillion. European supermarkets face intense price competition amid lingering cost pressures. Though EU food inflation stabilised at 2.7% in April 2025 according to Eurostat, consumer focus on value remains high. Discounters like Aldi and Lidl continue to gain share as shoppers seek lower prices. Supermarkets are investing heavily in price-matching schemes, though sustaining these is financially challenging. Tesco and Sainsbury’s have begun scaling back such initiatives, while Asda has abandoned its price match strategy. Private label growth is reshaping the sector, with sales reaching €352 billion in 2024, the Private Label Manufacturers Association (PLMA) notes. Retailers are diversifying these ranges to balance value, quality and margins. Smarter product mixes are emerging as retailers prioritise local sourcing and premium niches to build loyalty. Strategies like Sainsbury’s ‘Supporting British’ and Mercadona’s local sourcing model resonate with values-driven shoppers. Loyalty programmes have become a strategic pillar, offering personalisation and margin-friendly growth. Programmes like Tesco Clubcard and Carrefour+ drive retention and profitability beyond price wars. Finally, rising labour costs add further pressure. Recent minimum wage increases across Europe have prompted supermarkets to pursue automation, cost savings, and operational efficiencies to protect profitability in an evolving retail landscape. In 2025, revenue is expected to grow at 0.9%, while profit is expected to reach 5.2%, a minor drop from 5.6% in 2020, thanks to intense price competition. Over the five years through 2030, supermarkets’ revenue is slated to climb at a compound annual rate of 2.9% to €2 trillion. Private label growth remains a structural trend while health, convenience and on-the-go meals are driving new demand, particularly among younger shoppers. Supermarkets must diversify their ranges to capture this growth, blending value, quality and functionality. Convenience is also fuelling an ongoing channel shift. Online grocery sales remain, with consumers willing to pay premiums for faster delivery. Retailers are scaling up e-commerce, partnering with delivery apps and innovating store formats to meet demand for flexibility. Smaller urban stores, hybrid models and grocerants are gaining traction. Supermarkets are accelerating investment in automation and AI to boost efficiency and margins. Personalised loyalty schemes are driving customer retention, while automation in warehouses and stores enhances productivity. Trials in drone delivery and robotic shelf scanning signal further innovation. Consolidation and integration are key to navigating sustained margin pressure. Larger grocers are pursuing M&A and pan-European alliances to drive scale, while moving upstream into food production for resilience. Supermarkets that adapt rapidly – blending private labels, convenience, technology and scale – will outperform in Europe’s increasingly competitive grocery landscape.

The online shopping for groceries is not a new phenomenon in India as it has been there for the past many years.

Over the five years through 2025-26, industry revenue is expected to decline at a compound annual rate of 3.3% to £23.8 billion. The post-pandemic unwinding has been sharp, with online grocery orders falling from their lockdown highs as consumers return to physical stores. Meanwhile, aggressive pricing from discounters like Lidl and Aldi has pressured full-service grocers to match value, often through margin-eroding tactics like loyalty pricing, discounting and delivery subsidies. Demand for online grocery hasn’t disappeared – far from it – but it has normalised, and the cost of fulfilment remains high. Supermarkets continue to struggle with thin margins as the price of labour, fuel and delivery infrastructure weighs heavily on profit. In 2025-26, revenue is expected to rise modestly by 1.7%, reflecting a more stable consumer backdrop and slower inflation, particularly in food categories. Retailers have continued investing in automation and fulfilment innovations – from robotic picking systems to hyperlocal delivery hubs. Still, many of these upgrades are capital-intensive and have yet to ease the industry’s cost burden fully, but price sensitivity remains high. While loyalty schemes and one-hour delivery services help retain customers, they also demand substantial ongoing investment, limiting any meaningful recovery in profitability. Looking ahead, revenue is forecast to climb at a compound annual rate of 2.5% over the five years through 2030-31 to £26.8 billion. Growth will likely remain tepid as household budgets stay under pressure and the market becomes increasingly saturated. Major companies will likely consolidate their lead by expanding automation, refining logistics and bundling services through apps and loyalty platforms. Still, with delivery speed expectations rising and margins staying thin, grocers must carefully balance convenience with cost discipline to remain competitive.

India Online Grocery Market was valued at USD 8.82 Billion in 2024 and is expected to reach USD 53.67 Billion by 2030 with a CAGR of 35.18% during the forecast period.

From the selected regions, the ranking by revenue in the 'Grocery Delivery' segment of the online food delivery market is forecast to be led by Indonesia with ***** billion U.S. dollars. In contrast, the ranking is trailed by Timor-Leste with **** billion U.S. dollars, recording a difference of ** billion U.S. dollars to Indonesia. The Statista Market Insights cover a broad range of additional markets.

In the view of the coronavirus (COVID-19) expansion, residents of the Russian capital, where the disease was spread the most, increased their online grocery spending significantly compared to the rest of the country. Hypermarkets' online sales rose at 30 percent over the twelfth week of 2020, which was the highest mark among different grocery store formats.

For further information about the coronavirus (COVID-19) pandemic, please visit our dedicated Facts and Figures page.