As 2024 unfolds, understanding the latest ecommerce food trends is essential for businesses aiming to thrive in the online grocery sector.
The landscape of online grocery retail is constantly shifting. It has been this way every year since the global pandemic forced a paradigm shift in how consumers worldwide shop for food and beverages (FAB) products and other consumables.
As the technology that powers ecommerce continues to advance, new ecommerce food trends in 2024 have started to shape the online grocery market.
In 2023, the major trends included a pivot toward increased automation, alternative billing systems, amplified payment options, and an increased commitment to sustainability.
Once again, times have changed, and 2024 is set for new developments that will shape FAB ecommerce moving forward.
Important online grocery statistics for 2024
It looks like 2024 is a good year to be in the online grocery business. Despite global inflation and price changes affecting customers’ purchasing power worldwide, the number of users in the online grocery sector is still on the rise.
Before we dive into the major trends for the coming year, let’s learn a little more about the state of online grocery in 2024.
- There are 1.5 billion users in the grocery delivery market worldwide.
- Global grocery delivery is estimated to generate more than $640 billion in revenue in 2024.
- Online grocery is the second-largest ecommerce category in the US, accounting for approximately 17% of all ecommerce sales.
- US digital grocery sales are expected to increase by 18.5% compared to last year.
With such strong statistics proving that online grocery is still on the rise, it’s difficult to remember why people thought fresh groceries and perishable FAB products could not be sold online at scale less than five years ago!
Today, setting up an online grocery business is a reliable way to attract customers as more and more shoppers embrace the convenience of ecommerce .
4 key ecommerce food trends to watch this year
If you are in the food retail business, you need to keep up with the market trends. Just like the grocery products in your store inventory, your business strategy has a shelf life!
You should constantly monitor new developments in the online grocery industry and adjust your strategy before it crosses its expiration date.
Here are the key ecommerce food trends for 2024 that will impact the way your online grocery store performs:
1. Price sensitive consumers
Global inflation in the wake of the pandemic saw price rises affecting consumers. That price consciousness has persisted into 2024, with shoppers continuing to look for ways to save money while shopping. One way this has manifested in online grocery is an increase in value shopping and promotional sales.
Consumers are looking for better deals where they can buy more while spending less. And this is not confined to the US market. A McKinsey report found that 45% of European shoppers look for ways to save money while using online grocery services.
For food retail business owners, adjusting pricing strategy and devising attractive promotions to attract more customers should be priorities in 2024.
2. Emphasis on sustainability
One trend that has not died off from 2023 is the focus on sustainable retail practices. This is a trend throughout the retail sector as a whole, and it can also be observed in the online grocery market.
Nearly all consumers would prefer to buy groceries that are sustainably sourced and environmentally friendly. In a survey by Nielsen IQ, an overwhelming majority of 95% of consumers said they would like to live a more sustainable lifestyle.
Despite the clamoring demand for sustainable products and brands, many consumers are still unable to find what they are looking for when shopping for groceries online.
This represents a major opening for online grocers. The businesses that can reliably meet consumer expectations for sustainable online groceries will be able to capture a significant portion of the market.
3. Increasing importance of retail media
Food ecommerce has completely changed the way people buy groceries. And now, the industry itself is being disrupted by new ways of selling.
Retail media is expected to play a more significant role in driving online grocery sales in 2024 and beyond. Advertising campaigns for online grocery stores will need to be redesigned as social commerce starts to play an even bigger role.
Personalized ads and shoppable social media content should be two foundational pillars of any digital grocery store’s retail media strategy.
By leveraging new marketing and customer service tools, online grocery retailers can grow their business by increasing customers and successful sales.
Personalized recommendations powered by artificial intelligence (AI) and machine learning (ML) can also take revenue to another level.
When ecommerce platforms serve products and services tailored to a shopper’s browsing behavior, demographics, and general preferences, they increase engagement, sales and customer satisfaction, too.
4. Online overtaking offline
There was a time when ordering fresh groceries over the internet seemed unthinkable. But 2024 might just be the year that the tables turn, and going to a physical store becomes the outlandish option compared to shopping online.
According to a recent report by PYMNTS, less than half of customers still shop for groceries in physical stores. Where 63% of consumers physically shopped for groceries in 2020, by 2024, only 44% still make the trip.
It’s clear that many consumers are embracing the convenience that food ecommerce adds to their lives. Online shoppers also enjoy more variety in brands than would be available at a single store location.
Prepare your online grocery business for the future
Understanding the trends shaping the food ecommerce industry helps digital grocery retailers stay ahead of the curve and meet customer expectations in a rapidly changing world.
To help sellers achieve more with their online grocery stores, Wave Grocery offers a comprehensive grocery ecommerce platform for your business.
Every aspect of the online grocery business is covered, from selling to logistics and order management.
If you want your online grocery store to succeed, you have to move with the times. Wave Grocery gives your store the tools it needs to stay competitive, even as the market conditions continue to shift.
The best part is that the unique pricing model ensures you only pay for what you use, so you can scale up your online grocery business without worrying about hidden costs.
