The global food and grocery retail products market was valued at USD 3,873.2 billion in 2022 and is expected to expand at a CAGR of 5.3% from 2023 to 2030. The growth of the market is attributed to the increasing demand for convenience and easy access to products. The increasing disposable income of consumers, particularly in the middle-class segment, is also driving the market’s growth. The rise in the number of dual-income households and the need to save time are propelling the industry’s growth. Furthermore, the growing demand for organic food and chilled and frozen food is boosting the market growth.

Food and grocery retail products are gaining traction due to the surge in demand for healthy food options. The increasing popularity of organic food, especially among health-conscious consumers, is driving the demand for organic food and grocery retail products. Furthermore, the rising trend of food delivery applications, such as UberEats and GrubHub, is boosting the industry’s growth. To gain a competitive advantage, major market players are focusing on the development of new products and innovative packaging solutions, such as non-paper packaging solutions.

In addition, the increasing number of online grocery stores is expected to drive the market’s growth in the coming years. The growth of the online grocery market is driven by the growing demand for convenience and the easy availability of products. Furthermore, the increasing number of e-commerce platforms, such as Amazon and Walmart, is driving the industry’s growth.

Furthermore, the growing demand for private label brands is driving the market’s growth. Private labels offer quality products at competitive prices, which is boosting their popularity. Major retailers, such as Walmart, Costco, and Target, are investing in private label brands to increase their market share. Moreover, the availability of various discounts and promotions on private label brands is bolstering their demand.

Furthermore, the increasing demand for convenience food and ready-to-eat products is also driving the market’s growth. The increasing preference of consumers for convenience food, such as ready-to-eat meals and frozen convenience food, is driving the market’s growth. The increasing demand for convenience food is attributed to the growing number of working women and the rise in the number of dual-income households. Additionally, the growing popularity of meal delivery services, such as DoorDash and UberEats, is propelling the market’s growth.

The canned food segment is estimated to account for the largest share in 2022. Rising demand for convenience foods and ready-to-eat meals among consumers, coupled with the growing health consciousness among individuals is driving the canned food market. According to an article published by Forbes, in July 2018, canned food is one of the healthiest shelf-stable food items as it retains most of its nutritional value. Furthermore, the increasing penetration of supermarkets and hypermarkets across the globe is expected to fuel the demand for canned food products.

The frozen food segment is anticipated to expand at the fastest CAGR of 8.2% over the forecast period. The increasing demand for frozen food products is driven by the convenience associated with the products. According to an article published by Food Dive, in June 2020, the frozen food industry is benefiting from the shift of consumers towards frozen products due to their convenience and the wide variety of products available in the market. Moreover, the growing health consciousness among consumers is expected to drive the demand for frozen food items as they are an easy and nutritious meal option.

The supermarkets and hypermarkets segment held the largest market share in 2022, owing to the increasing consumer inclination toward supermarkets & hypermarkets to purchase grocery products. Supermarkets and hypermarkets are the primary source for purchasing food and grocery products due to the availability of a wider range of products under one roof. These establishments also offer various discounts, which attracts consumers to purchase from these stores.

The online segment is anticipated to expand at the highest CAGR of 12.8% over the forecast period. The increasing use of smartphones and the emergence of e-commerce companies, such as Amazon and Walmart, have led to the growth of the food & grocery retail products market. E-commerce stores offer a wide range of food and grocery products, with competitive prices and discounts, thus attracting consumers to shop online. Furthermore, e-commerce companies also provide doorstep delivery services, which has further increased the popularity of online retail stores among consumers.

The packaged food segment accounted for the largest revenue share of 75.3% in the year 2022. The increasing trend of convenience and health among consumer these days are driving the growth of the packaged food segment. For instance, in May 2022, Kraft Heinz, an American food company, launched its new product line of vegetarian and vegan food products, making it easier for consumers to find nutritious and delicious food. Furthermore, the increasing demand for ready-to-eat food products, such as breakfast cereals, frozen meals, and snacks, is driving the growth of the packaged food segment.

The fresh food segment is anticipated to expand at the highest CAGR of 6.2% over the forecast period. The increasing demand for fresh, organic, and locally sourced food products is driving the growth of the fresh food segment. Furthermore, the growing trend of farm-to-table restaurants and food delivery services is propelling the growth of the fresh food segment. For instance, in April 2022, Walmart, the world’s largest retail company, announced a partnership with local farmers to deliver fresh produce directly to consumers through its online grocery delivery service.

Asia Pacific is expected to dominate the market during the forecast period. The region is home to a large population and the presence of the e-commerce industry, which is gaining momentum owing to the increasing internet penetration. Additionally, the growing trend of online grocery shopping is expected to play a key role in driving the growth in this region. For instance, India is the second-largest online grocery market globally and is expected to witness a CAGR of over 28% during the forecast period.

North America is also expected to witness significant growth in the coming years. The presence of large retail chains, such as Walmart and Target, is a key factor driving the growth of the market in the region. Growing demand for organic and natural products is also expected to drive the market growth in the region. Moreover, the presence of major players, such as Kroger and Whole Foods, is further expected to fuel the market growth in the region.

In this part of the food & grocery retail products business plan we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your food & grocery retail business. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions
The main source of revenues for a food & grocery retail products business comes from the sale of food & grocery products. Here you will find a list of products that you can sell in your store and any other possible sources of profit such as fundraising, food & beverage, the sale of merchandise, and leasing the place for parties and corporate events.

Projecting Expenses
In this section, all the regular expenses related to keeping the food & grocery retail business running will be described. The list of operating expenses includes inventory cost, wages, maintenance and repairs, utilities, insurance policies, advertising, and others.

Some of the key companies operating in the food and grocery retail market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In September 2022, Amazon launched Amazon Fresh, a new grocery delivery service offering fresh produce, meat, fish, and other grocery items.

– In October 2022, Walmart Inc. launched Walmart+, a new subscription-based delivery service for groceries, household essentials, and other items.

– In November 2022, Kroger Co. launched its new online grocery delivery service, Kroger Express, to further expand its presence in the market.

Some of the prominent players in the food and grocery retail market include:

– Walmart Inc.
– Amazon
– Kroger Co.
– Target Corporation
– ALDI Inc.
– Costco Wholesale Corporation
– SuperValu Inc.
– Publix Super Markets, Inc.
– The Kroger Co.
– Aldi Einkauf GmbH & Co. oHG

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global food & grocery retail products market based on product type, distribution channel, and region:

1. Product Type Outlook (Revenue, USD Million, 2017 – 2030)

– Bakery & Confectionary
– Fruits & Vegetables
– Dairy & Frozen Foods
– Ready Meals
– Others

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Online
– Convenience Stores
– Others

3. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

[Q]: What are the Key Trends in the Food & Grocery Retail Market?
[A]: The food & grocery retail market is witnessing a major shift towards convenience shopping, with the emergence of online and delivery-based services, as well as more traditional store formats. Additionally, rising consumer preference for organic, natural and sustainable products has led to an increased focus on product quality and safety. The increased availability of private label brands, as well as the introduction of new products and flavors, is also expected to drive growth in the food & grocery retail market.

[Q]: Who are the Key Players in the Food & Grocery Retail Market?
[A]: Key players in the food & grocery retail market include Walmart Inc., Amazon.com Inc., Target Corporation, The Kroger Co., Albertsons Companies Inc., Costco Wholesale Corporation, and SUPERVALU Inc.

[Q]: What Factors are Driving Market Growth?
[A]: Factors such as increasing disposable income, the growing demand for convenience products, and the emergence of online grocery delivery services are expected to drive market growth over the forecast period. Additionally, the rising popularity of private label brands and the introduction of new product flavors are further expected to drive the market.

[Q]: What is the Potential for Online Grocery Delivery Services?
[A]: The online grocery delivery services market is expected to witness significant growth over the forecast period, due to the convenience it offers customers. The rise of mobile technology is also expected to drive growth, as customers are increasingly adopting online grocery delivery services to save time and effort.