Top Emerging Trends Of Food & Grocery Retail Market Progress Forecast 2027Posted by Mrudula Anil Karmarkar on December 14th, 2020 The global food and grocery retail market size is expected to reach USD 17.3 trillion by 2027, expanding at a CAGR of 5.0% over the forecast period, according to a new report by Grand View Research, Inc. Rising disposable income and affordability, along with rapid urbanization, have been driving the market across the globe. Increasing middle-income group consumers have been raising the demand for quality consumables and grocery retail in developing nations. Furthermore, provision of home delivery offered by most supermarkets has become an attractive offer for time-pressed consumers. The food & grocery retail market is witnessing a significant rise in demand globally. Will the limited consumer knowledge regarding the possible end to this crisis play an integral role in shaping the near future of the industry? Will the suppliers be able to keep up with this massive surge in demand? Our team is working to account for the rapid surge in our estimates. The report will account for Covid19 as a key market contributor. Over the past few years, consumers are opting for convenient, ready-to-cook, ready-to-eat, and bakery products in order to save time and effort. This has widened the scope of the packaged consumables over the world. The online distribution channel is expected register the highest CAGR over the forecast period due to shifting consumer preference towards e-commerce. Key players including Walmart, The Kroger Co, and Amazon are investing in innovation and automation of online supply chain to fulfill the delivery requirement of the fresh and grocery products. Factors including order tracking, delivery slot notification,transparent pricing model,low per-order costs, and appealing subscription models have been driving the food and grocery retail sales through this distribution channel. The industry for food and grocery retail is highly competitive due to presence of a large number of global and local players. Key competitors in this industry include Walmart; Costco Wholesale Corporation; 7-Eleven, Inc.; The Kroger Co; Schwarz Gruppe; ALDI Purchasing GmbH & Co. oHG; Carrefour; Tesco PLC; Target Brands, Inc.; Ahold Delhaize, Amazon; and Albertsons Companies. Merger and acquisition activities have surged in the industry in the last few years. For instance, in November 2018, Lidl, a subsidiary of Schwarz Gruppe, acquired 27 Best Market supermarkets running in New Jersey and New York to expand its business in U.S. Food & Grocery Retail Market Report Highlights
With the increasing use of online shopping platforms, several players in the industry are entering into e-grocery and improving their presence. For instance, Walmart has expanded its online distribution channel and started same-day delivery in 2020. Similarly, Kroger Co has increased its pickup sites for online orders. Additionally, in June 2017, Amazon declared its acquisition of Whole Foods Market Inc. This acquisition has enhanced Amazon’s fresh grocery retail services in new markets. Such initiatives to strengthen the online presence of the competitors have been shaping the buying behavior of the consumers. Price and convenience have a significant impact on a consumer’s choice as these are the two primary concerns of the consumers while purchasing grocery products. As a result, in-store or online price parity influence market growth positively. Furthermore, supermarkets have been arranging special events, such as cookery classes, to increase the footfall and boost consumer engagement. Retail suppliers often partner with brands for such initiatives. For instance, Target Brands, Inc. partnered with Chobani, a Greek yogurt manufacturer, to arrange a yogurt bar inside its retail stores. Have a Query? Ask Our Expert: https://www.grandviewresearch.com/inquiry/5236/ibb As a result of the COVID 19 outbreak, the food and grocery retail market is witnessing a significant rise in demand globally. The lockdown in several nations has been causing disruption in the supply chain. Both brick-and-mortar and online merchants are facing difficulties to meet the intensified demand for food and grocery products. Furthermore, the revenue of vendors has jumped up remarkably in the first quarter of 2020. The Kroger Co has announced a 30% increase in identical-store sales in March. The panicked shoppers have been emptying the shelves and putting pressure on the available store staff. As a result, key retail suppliers have started hiring workers to keep up with the demand. For instance, Walmart, Amazon, Dollar General, CVS, and Albertsons are hiring 150,000, 100,000, 50,000, 50,000, and 30,000 employees respectively to serve the consumers. Grand View Research has segmented the global food and grocery retail market on the basis of product, distribution channel: Food And Grocery Retail Product Outlook (Revenue, USD Billion, 2016 - 2027)
Food And Grocery Retail Distribution Channel Outlook (Revenue, USD Billion, 2016 - 2027)
About Grand View Research Grand View Research, Inc. is a U.S. based market research and consulting company, registered in the State of California and headquartered in San Francisco. The company provides syndicated research reports, customized research reports, and consulting services. To help clients make informed business decisions, we offer market intelligence studies ensuring relevant and fact-based research across a range of industries, from technology to chemicals, materials and healthcare. For More Information:www.grandviewresearch.com Like it? Share it! More by this author |