Online Grocery Market Size, Share, and Trends 2025 to 2034

Online Grocery Market Size and Forecast 2025 to 2034

The global online grocery market size was estimated at USD 57.91 billion in 2024 and is anticipated to reach around USD 623.70 billion by 2034, expanding at a CAGR of 26.83% from 2025 to 2034. 

Online Grocery Market Key Takeaways

• Asia Pacific dominated the global online grocery market with the largest market share of 60% in 2024.
• By product, the staples and the cooking essentials segment accounted for the highest market share of  34% in the year 2024.
• By product, the breakfast and dairy segment is expected to grow at a notable CAGR over the forecast period.

Asia Pacific Online Grocery Market Size and Growth 2025 to 2034

The Asia Pacific online grocery market size was evaluated at USD 34.75 billion in 2024 and is predicted to be worth around USD 377.34 billion by 2034, rising at a CAGR of 26.93% from 2025 to 2034.

Asia Pacific dominated the global online grocery market with the largest market share of 60% in 2024. North America is forecasted to rise during the forecast period. Apart from these nations, India and China are considered to be very high potential markets for the platform. Due to digitization in India and China, which are Asia Pacific markets are expected to have a growth. The coronavirus lockdown had helped in a significant rise in online grocery sales in these regions.

The various government initiatives that are aimed at digitally empowering these nations, this market is expected to grow during the forecast. US is witnessing a steady growth in this platform. Several key players, Walmart Amazon.com Inc, Instacart etc. are all from North America.

• In 2024, Instacart announced a strategic partnership with Kroger to expand their AI-powered fulfillment centers across the U.S., aimed at reducing delivery times and improving inventory management in online grocery logistics.
  

Market Overview

The online grocery market is growing rapidly as the preferences of the consumers are changing due to the pandemic and the growth of the e-commerce industry. The global pandemic has brought this platform to the center stage. Previously, high e-commerce fees or not-so-user-friendly website designs had stunted the growth of this market. Apart from the pandemic, other factors have led customers to adopt this platform.

Previously, when all the grocery was bought from shops, now there is a shift to online grocery stores. Items of personal care, snacks, packaged foods, dairy, fresh meat, and frozen food have all seen a significant rise.

The United Nations Environment Programme (UNEP) reported in 2024 that major grocers are integrating sustainability into online operations, including low-emission packaging and optimized last-mile delivery.

Major online stores are providing services that help in placing the order and collecting it on the same day. This helps in the rapid growth of the services market. The click-and-collect concept is adopted to enable a contactless shopping experience.

• Walmart’s 2024 Q1 initiative included expanding same-day grocery pickup to over 1,500 new locations across North America. 

Online Grocery Market Growth Factors

Shopping online helps in saving the time required in traveling up and down to the store, collecting the things and prevents wastage of fuel or gas. Customers have an advantage of a fully stocked store even if you try to place an order at midnight. Online grocery shopping will help in reduction of the carbon dioxide emissions compared to the individual household trips for such shopping. The tendency of impulse buying within is turned down during online shopping. 
The feature of price comparison provided by these platforms makes the life of the housewives easy and helps save their money. Searching the products online is also easy as compared to the shops. Many groceries store sites help you with your shopping list that you last ordered, so this also helps in reordering the items. It is also less stressful as compared to dealing with the busy grocery store, when everyone else is there during the peak hours.

There is a change in the preference for grocery shopping through online channels due to changes in technology due to urbanization and shift in consumer shopping habits. The growing disposable income and attractive discounts that are offered by the online grocery stores is driving the market. Low service fees and easy availability of time slots is also helping the market grow. The options offered by online grocery stores are more than the conventional stores. A hectic lifestyle has also led to an increase in the market share.

The availability of smartphones or smart devices at home, along with Internet connectivity, have also led to a growth in the online sales. Increased liking for hassle free shopping and a growing inclination towards the ecommerce platforms is also expected to help the market grow. The online grocery stores also provide some attractive offers like cash back, discounted offers and express delivery options.

• In 2024, Amazon Fresh and BigBasket introduced AI-powered recommendations, which increased basket sizes and improved user retention according to internal pilot studies shared during tech summits.

Market Scope 

Product Insights

All the staples and the staples and the cooking essentials segment accounted for the highest market share of 34% in the year 2024. Staples include the demand for grains, oil, which are necessities in any household. Especially across Asia Pacific apart from the staples the dairy market is expected to grow at par with the staple segment. Due to doorstep delivery available for the milk and milk products this market is growing. That is expected to be a 24% growth in the fresh produce segment. Due to availability of meat and seafood online this market is also expected to rise in the forecast period. The breakfast and dairy segment is expected to grow at a notable CAGR over the forecast period. Online grocery stores cover a wide range of products, like the cereals, vegetables, fruits, bakery,breakfast products, Poultry and meat.

Delivery Insights

Based on the delivery type the segment can be further classified into click and collect or home delivery. The home delivery option is expected to have a larger market share during the forecast period. The click and collect process allows the customer to place an order through the online website for the products and while selecting the option for pick up. The benefit of click and collect order is that the delivery is within on the same day or the next day. So it helps in saving time and the shipping costs.

• In 2024, Walmart announced a 30% expansion in its same-day pickup locations in suburban U.S. areas, citing increased customer preference for click-and-collect over home delivery in specific zones

Purchaser Insights

The segment can be further classified as one-time customers or subscribed customers. The subscription services are rapidly growing and it's playing a niche role in driving the market. It helps in allowing the customers to have free delivery, cash back offers and priority of having the earlier slots for delivery. It helps in building trust among the customers and also encouraging customers to opt for subscriptions that are annual. In the recent years, there has been a rise of online shopping subscriptions. In order to retain the customers, subscription services are provided which provide rewards or savings.

• In 2024, Instacart expanded its 'Instacart+ Membership' across 12 new countries, offering healthcare-linked benefits such as free wellness products.

Online Grocery Market Companies

• Amazon.com, Inc.
• Walmart Inc.
• FreshDirect LLC.
• Target Corporation
• Instacart
• Safeway Inc.
• Edeka group
• Tesco PLC.
• Alibaba Group
• Grofers India Private limited
• Avenue Supermarkets limited

Recent Developments

• In April 2025, South Korean retailer Lotte introduced Lotte-Mart Zetta, its latest online grocery app powered by the Ocado Smart Platform (OSP). This launch reflects continued collaboration between Ocado Group and Lotte, initiated in November 2022. Ocado’s OSP provides a comprehensive e-commerce, fulfilment, and logistics solution tailored for online grocery operations. According to Lotte Mart and Super CEO Kang Sung-hyun: “By merging Lotte Mart's strength in groceries with Ocado's advanced technology, we aim to become a leading brand in the local online food market and dominate both online and offline grocery sectors.”
• In May 2025, Coop Alleanza 3.0, a major Italian retail cooperative, introduced a new, sophisticated e-commerce platform designed to elevate customers' digital shopping journey. Found at [www.easycoop.com](http://www.easycoop.com), this portal offers greater flexibility, especially at checkout, allowing shoppers to choose a specific delivery day and time slot. As a value-add, customers receive a text alert shortly before delivery with the driver’s name and ID code. Developed and financed by Digitail, a Coop Alleanza 3.0 subsidiary, the service is currently active in Greater Rome but is set to expand across Italy.
• In November 2024, Jiva Technologies, a pioneer in wellness-focused digital ecosystems and physical spaces, announced the debut of wegotgroceries.com through a joint venture with We Got Groceries. Now live, the site features a curated selection of health and wellness food products. It is integrated with U.S.-based distribution centers to enable fast delivery of shelf-stable, chilled, and frozen items. Net profits are evenly divided between the partners. Targeting a segment of the USD 554.04 billion global health and wellness food market\*, JIVA plans to use its tech capabilities and SEO-driven approach to scale reach and conversions.

 Segments covered in the report

By Product

• Fresh produce
• Breakfast and dairy
• Snacks and beverages
• Staples and cooking essentials
• Poultry and meat
• Others

By Delivery

• Home delivery
• Click and collect

By Purchasers

• One time customers
• Subscribers

By Geography

• North America
• U.S.
• Canada
• Europe
• U.K.
• Germany
• France
• Asia-Pacific
• China
• India
• Japan
• South Korea
• Malaysia
• Philippines
• Latin America
• Brazil
• Rest of Latin America
• Middle East & Africa (MEA)
• GCC
• North Africa
• South Africa
• Rest of the Middle East & Africa