Food & Grocery Retail Market by Walmart; Costco Wholesale Corporation; 7-Eleven, Inc.

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 rapidurbanization, 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.
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
  • In terms of product, packaged consumables dominated the market in 2019 with over 40% share of the global revenue owing increased demand for convenience products among the working population
  • Middle East and Africa is expected register the fastest CAGR of 5.8% from 2020 to 2027. Improved economic indicators in countries, including Nigeria, Ethiopia, and Kenya, as a result of supportive economic policies by national governments are expected to have a positive impact on the regional industry growth
  • Online distribution channel is expected to expand at the fastest CAGR of 6.2% from 2020 to 2027 due to increasing penetration of online retailers and smartphones
  • Exclusive value-added services and continuous access of sales support to the consumers are expected to remain critical success factors for the industry participants in the near future.
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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, the company offers market intelligence studies ensuring relevant and fact-based research across a range of industries including technology, chemicals, materials, healthcare and energy.

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