Market Trends of North America Online Grocery Delivery Industry
This section covers the major market trends shaping the North America Online Grocery Delivery Market according to our research experts:
Growing Demand for Super Fast Delivery
- The growing construction of new grocery stores would create new opportunities for the online grocery delivery market to provide super-fast delivery services over the next five years. For instance, Instacart introduced new features across the Instacart App designed to make online grocery shopping more affordable.
- Government and private investments are expected to drive the online grocery delivery market's growth over the next five years. For instance, Walmart Canada has a USD 3.5 billion investment plan over the next five years, targeted at generating considerable growth and making the online and in-store shopping experience easier, quicker, and more convenient for Walmart consumers.
- According to the latest Food and Beverage Sector Report from Edge Retail Insight, Amazon's online edible grocery sales are projected to increase to USD 26.7 billion worldwide in 2026 from USD 14.5 billion in 2021, recording a CAGR of 13%. Fresh grocery delivery is rapidly expanding and playing a significant role in the market. It helps clients receive fresh grocery products in a quicker time.
- Key market players, such as Amazon Fresh and Walmart Inc., play a significant role in the rapid adoption of super-fast delivery services. For instance, Metro, a Canadian grocery and pharmacy company, expanded its collaboration with Instacart. Customers may order from the retailer's Adonis banner and bargain formats Super C and Food Basics with delivery service in an hour.
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United States is Expected to Be the Fastest-growing Country
- Various grocery delivery choices, such as same-day or rapid delivery and click & collect, remain unique for market growth. Online grocery delivery service providers in the United States provide contactless and next-day or same-day deliveries. This trend may drive small-scale grocers to collaborate with third-party service providers like Instacart to enter the industry. For instance, Instacart, a wholly owned subsidiary of the ODP Corporation, offers same-day delivery from over 1,000 Office Depot and OfficeMax stores in the United States.
- Online grocery delivery services have increased in recent years. Key players in the market are expanding their retail stores to offer online grocery delivery services across the United States. For instance, Instacart collaborated with 7-Eleven, the world's largest convenience retailer, to nearly 4,000 new stores nationwide. With this growth, Instacart now delivers to about 6,000 7-Eleven locations, reaching almost 60 million US households.
- The online grocery vendors are offering coupons and special discounts, which would bring new growth opportunities across the United States. Instacart launched "Priority Delivery," a new experience that enables faster grocery delivery for consumers in the United States and Canada. Customers in the country's major cities now have access to grocery delivery in as short as 30 minutes.
- The subscription-based services are most engaged to customers driving the market and increasing online grocery delivery orders. Walmart plans to employ over 3,000 delivery drivers in the United States and construct an all-electric delivery van fleet to serve home grocery delivery service. Such investments would create new growth opportunities for subscription-based online grocery delivery services.
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