Food E-commerce market size was valued at USD 138.39 million in 2019 and is anticipated to expand at a CAGR of 20.3% during the forecast period of 2020 to 2026.
Infinium Global Research Analysts
Global Food E-commerce Market: Consumer Behavior Analysis by Countries, Buying Pattern Analysis, Demographics, Trends Analysis, Survey Findings and Results, Leading Companies and their Market Strategies
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Published : May, 2020
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Rep Id : GFEM2552020
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No. of Pages : 185
Infinium Global Research and Consulting Solutions has
published a comprehensive research study based on a survey conducted to analyze
the buying patterns, consumer behavior, and impact of pricing on buying
decisions. The report also provides insights into the marketing strategies and
steps taken by the companies to retain their market position in the local as
well as global market. The study also provides insights into the factors
affecting the buying decisions, consumer preferences, and the demographic factors
promoting the growth of the products of the global food E-commerce market.
The global food E-commerce market size was valued at USD 138.39
million in 2019 and is anticipated to expand at a CAGR of 20.3% in terms of
value during the forecast period of 2020 to 2026. Although the food and
beverage sector is the largest retail category by a large margin, the industry
has not yet widely adopted E-commerce when compared to sectors such as consumer
electronics and household products. This is due to the perishable nature of
food products that usually have unique storage and logistic requirements.
However recent trends, technology development, and shopper sentiment indicate
that the food E-commerce category is poised for rapid growth. Food retailers of
all types and sizes are gaining market share and even dominate this sector with
the right E-commerce strategy, technology, and logistics solutions in place.
Several food retailers are starting to shake up the industry with outstanding E-commerce
sites that attract and convert online shoppers.
Increasing comfort among existing online shoppers in making
routine grocery purchases online driving the demand for food E-commerce across
the globe. The customers can browse nearby restaurants that deliver food,
access their menu, compare prices for similar food items, and place an order
using a simple user interface. Furthermore, the high-speed internet and the
growth in smartphone usage are increasing the demand for online food ordering
and delivery businesses. The huge potential of the market has resulted in the
proliferation of countless online food ordering and delivery websites, each
with its own Unique Selling Proposition (USP). Furthermore, increasing the
purchasing power of the global middle-class population is fueling the demand
for food E-commerce.
China, the United States, Japan among Top Markets for Food E-commerce
Figure 1 Global Food E-commerce Market by Country, 2019 (Revenue % Share)
Source: Infinium Global Research Analysis
China is the largest food E-commerce consuming nation as it
holds more than 45% market share of the Asia Pacific food E-commerce market and
nearly 20% market share of the global food E-commerce market. Fresh food E-commerce
becoming a very big business in China as the cold chain improves and hybrid
online/offline models expand. Nearly half of Chinese consumers bought products
online weekly. The U.S. holds an approximately 15% market share of the global
food E-commerce market followed by Japan, India, and Germany. The U.S. has the
largest consumer base in the for food E-commerce in the North America region
while Germany is the largest market in Europe.
Figure 2 Importance of Factors for the consumer of Food E-Commerce
Source: Infinium Global Research Analysis
Infinium Global Research and Consulting Solutions has
published a comprehensive research study based on a survey conducted to analyze
the buying patterns, consumer behavior, and consumer preferences. The above figure
shows the importance of factors to the consumer before consuming food E-commerce.
Although convenience and time savings are important factors, home delivery
facility and availability of variety are the most important factors for the
consumers than the degree of comfort and time savings. Moreover, consumers are
ready to pay extra charges for the home delivery facility and they also prefer
a wide range of variety of foods while buying food.
Among the regions, Asia Pacific dominates the global food E-commerce
market. It holds more than 40% market share of the global food E-commerce
market. China is the largest consumer of food E-commerce as it holds
approximately 20% market share of the global food E-commerce market. It is due
to improving logistics networks which enable faster and more efficient
purchases and deliveries. In this region, transformative technologies have
enabled consumers to purchase a supermarket’s entire range without leaving
their seats. North America is the second-largest and fastest-growing market for
food E-commerce. The factors such as hassle-free delivery, easy and fast
ordering, and minimum human interaction, which leads to fewer miscommunications
are driving the demand for food E-commerce in the North America region.
Research Methodology
Primary Research
Our primary research involves extensive interviews and
analysis of the opinions provided by the primary respondents. The primary
research starts with identifying and approaching the primary respondents, the
primary respondents are approached through
·
Key
Opinion Leaders associated with Infinium Global Research
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Internal
and External subject matter experts
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Professionals
and participants from LinkedIn, Hoovers, Factiva and Bloggers
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Our
primary research respondents typically include
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Executives
working with leading companies in the market under review
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Product/brand/marketing
managers
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CXO
level executives
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Regional/zonal/
country managers
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Vice
President level executives.
Methods of Primary Research
·
Computer-assisted
telephone interview (CATI)
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Computer-assisted
personal interview (CAPI)
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Computer-assisted
web interview (CAWI)
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Questionnaires/Surveys
Secondary Research
Secondary research involves extensive exploring through the
secondary sources of information available in both the public domain and paid
sources. At Infinium Global Research, each research study is based on over 500
hours of secondary research accompanied by primary research. The information
obtained through the secondary sources is validated through the crosscheck on
various data sources. The secondary sources of the data typically include
·
Company
reports and publications
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Government/institutional
publications
·
Trade
and associations’ journals
·
Databases
such as WTO (World Trade Organization), OECD (The Organization for Economic
Co-operation and Development), Hoovers, Factiva, and the World Bank, among
others.
·
Websites
and publications by research agencies
