Natural Foods Merchandiser logo

Online grocery retail is a growing force in the U.S. but the sector has a long way to go before it outsells physical retail.

NFM Staff

February 22, 2013

1 Min Read
Online grocery sales rise to $6 billion

Without question, online grocery retail is a growing force in the U.S. Since industry pioneer Peapod launched in 1989, throngs of players have entered the game. The past decade’s sharp spike in both Internet and smartphone usage has made these e-tailers even more accessible and, in some customers’ minds, more attractive than brick-and-mortar stores. Even so, the cyber sector has a long way to go before it outsells real, live, physical retail. 

2%
Percentage of total U.S. consumer packaged food sales purchased from online grocers in 2012 

$6 billion
Revenue generated by online grocery sales in 2012

$9.4 billion
Predicted revenue in 2017, on an estimated 9.5 percent growth

1,620
Number of online grocery businesses in 2012

8.8%
Market share of largest online grocer Peapod, followed by Fresh Direct with 5.7 percent

55+
Age group that buys the most groceries online, accounting for 24.5 percent of purchases

Source: IBISWorld

Subscribe and receive the latest updates on trends, data, events and more.
Join 57,000+ members of the natural products community.

You May Also Like