The Amazoning of the U.S. economy continues at a rapid rate, and now more and more Americans are buying their groceries online.
According to a report from the Food Marketing Institute, online grocery shopping will make up 20 percent of all grocery shopping by 2025. That’s about $100 billion in sales, or between 2 and 4 percent of the grocery market.
As with other types of online shopping, Americans are becoming more and more comfortable shopping for food online. A recent Gallup poll found that about 20 percent of Americans have bought groceries online, but only 9 percent have bought fresh produce or fresh meat. For example, Amazon’s biggest grocery sellers are packaged foods such as beverages, snack food and breakfast items.
Amazon, unsurprisingly, is leading the way in selling groceries online with about 18 percent — or roundly $2 billion in sales — of the total online grocery market, according to One Click Retail, which collects data on e-commerce.
Amazon’s share of the online grocery market will likely grow, thanks to its recent purchase of high-end grocery chain Whole Foods. According to One Click Retail, Whole Foods generic brands, called 365 Everyday Value, became the second most-sold brand on Amazon within just four months of the acquisition.
As for fresh products, Amazon, through AmazonFresh, is already offering same-day delivery in some cities and plans to expand in the future.
Do you buy groceries online? Would you? Feel free to comment.
