The global online grocery market was valued at an estimated USD 67.64 billion in 2024. This market is projected to expand significantly to USD 992.35 billion by 2033, demonstrating a substantial CAGR of 36.8% from 2025 to 2033. The primary force behind this growth is the increasing availability of smartphones and internet connectivity in both urban and semi-urban areas.
As more consumers become digitally literate and adopt mobile apps, there is a clear shift towards more convenient shopping methods. A seamless shopping experience, facilitated by improved user interfaces, real-time inventory updates, and secure payment systems, is accelerating the move to digital platforms for daily grocery needs. The growing desire for convenience and time-saving solutions among working professionals and busy households is also a key growth factor. By offering doorstep delivery and the ability to avoid crowded stores, long lines, and travel, especially in major cities, online grocery platforms are attracting more customers. Features like flexible delivery times, quick reordering, and subscription options have further boosted consumer engagement and loyalty.
Key Market Insights:
- Regional Dominance: The Asia Pacific online grocery market led the global market in 2024, accounting for the largest revenue share of 61.5%.
- Geographical Growth: The online grocery sector in the U.S. is expected to grow considerably during the 2025-2033 forecast period.
- Product Type: The staples & cooking essentials segment held the largest revenue share in 2024 at 29.1% and is also expected to see significant growth over the forecast period.
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Market Size & Forecast
- 2024 Market Size: USD 67.64 Billion
- 2033 Projected Market Size: USD 992.35 Billion
- CAGR (2025-2033): 36.8%
- Asia Pacific: Largest market in 2024
Key Companies & Market Share Insights
The online grocery market's key players include Walmart, Amazon.com, Inc., Instacart, JD.com, Inc., Alibaba.com, and The Kroger Co. These companies are actively engaged in various strategic initiatives, such as forming new partnerships and agreements, and developing new products to gain a competitive edge. The following examples highlight some of these recent efforts.
In June 2025, Supermarket Grocery Supplies Pvt. Ltd. (BigBasket) announced its plan to launch 10-minute food delivery services across India. This initiative is aimed at solidifying the company's position in the rapidly growing quick-commerce sector. BigBasket intends to leverage a network of dark stores—localized fulfillment centers—to support these speedy deliveries.
In May 2025, Instacart acquired Wynshop, a U.S.-based e-commerce solutions provider that serves grocers and retailers like Wakefern and Pattison, among others, throughout North America and internationally. This strategic acquisition enhances Instacart's existing partnerships and reinforces its dedication to providing retailers with advanced tools and technologies to boost their growth. By combining their industry expertise and relationships, Instacart plans to improve its enterprise offerings, helping retailers upgrade their digital platforms and strengthen customer relationships.
In May 2025, Alibaba introduced a new fast-delivery service on its Taobao platform to enhance its local logistics capabilities. The improved service covers a range of products, including food, groceries, electronics, and clothing. It utilizes the infrastructure of Alibaba's food delivery arm, Ele.me, to fulfill orders more efficiently. This move represents a significant effort to improve the speed and convenience of Taobao's delivery services.
Key Players
- Nature’s Basket Limited.
- Ebates Performance Marketing Inc., d/b/a Rakuten Rewards
- Reliance Industries Limited (JioMart)
- Supermarket Grocery Supplies Pvt. Ltd.
- Target Brands, Inc.
- Tesco.com
- The Kroger Co.
- Walmart
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Conclusion
The global online grocery market is undergoing a transformative shift, driven by increasing digital access, consumer preference for convenience, and innovation in last-mile delivery. Enhanced mobile platforms and strategic partnerships by leading players are redefining how groceries are purchased and delivered. With urban lifestyles becoming more time-constrained, online platforms are effectively addressing consumer demands for speed, flexibility, and ease. The integration of AI, improved logistics, and user-centric features are further propelling market growth. As competition intensifies, companies are expected to focus on efficiency and personalization to capture and retain customers in this rapidly expanding digital space.
