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India Online Grocery Market to be aided by the Increased penetration of Internet and Smartphones in the Indian market

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"According to a new report by EMR titled, ‘India Online Grocery Market Report and Forecast 2020-2025’, the India online grocery market reached a value of USD 2.2 billion in 2019. The India online grocery market is aided by the growing smartphones market and the increased penetration of internet in the market."

The India online grocery market is significantly driven by the increased digital awareness. The number of internet users in India keeps increasing rapidly. It is anticipated to rise to about over 635 million by 2021. Although less than two million Indian food customers purchase their groceries online in India, the region has the capacity for market growth, particularly as the internet usage has risen. Along with the internet usage, the growing economy is also aiding the growth of India online grocery market.

The online grocery industry in India is highly concentrated with the key players, Big Basket and Grofers dominating the industry with over 70% market share. Grofers is the leading player in the Delhi-NCR region. Big Basket is thriving in regional markets like Bangalore and Hyderabad, delivering nearly 70,000 orders per day across 25 cities. In FY17, Big basket crossed the ?1,000 crore mark by doubling their previous year's sales, as consumers preferred to shop online for their groceries. In 2019, Big basket joined the Unicorn Club by raising a funding of USD150 million from Alibaba, which is its major shareholder, and few others including CDC Group an Mirae Asset.

Market Analysis by Category, Average Spend per Transaction, Food Platform, Payment Method, and Regions:

  • The market can be categorised as grocery and staples, fruits and vegetables and others.
  • The average spending per transaction in India could be anything varying from < INR 1000, INR 1000 to INR 1500, or > INR 1500.
  • The grocery order can either be placed on a website or mobile application.
  • The payment methods include online payments and cash on delivery.
  • The major regional markets Bangalore, Delhi-NCR, Mumbai, Hyderabad, Pune among others.

Key Findings of the Report:

  • The India online grocery market is aided by the rise in digital awareness along with growing internet penetration in the country.
  • The online grocery market in India is also driven by the rising availability of cheaper smartphones as well as declining data tariffs.
  • The rising purchasing power and increasingly busier lifestyles is propelling the market further.
  • The market will be driven by the millennials who are willing to spend more for convenience.
  • Attractive offers like low delivery charges, cashback offers, fast delivery, and easy return policies by e-commerce websites dealing with groceries are also driving the industry.

Key Offerings of the Report:

  • The EMR report gives an overview of the India online grocery market for the periods (2015-2019) and (2020-2025).
  • The report provides historical (2015-2019) and forecast (2020-2025) market information for the platform, payment method, and regions of the market.

The key players are Big Basket, Grofers, Amazon India (Pantry & Now), Spar, Flipkart Supermart, D’Mart, Spencer’s, UrDoorStep, Godrej Nature’s Basket, Milk Basket, Paytm and others. The EMR report investigates the capacity, market share, and latest developments of these major players like plant turnarounds, mergers and acquisitions, and capacity expansions.

About Us:

EMR is a leading business intelligence firm, providing custom and syndicated market reports along with consultancy services for our clients. We serve a wide client base ranging from Fortune 1000 companies to small and medium enterprises. Our reports cover over 100 industries across established and emerging markets researched by our skilled analysts who track the latest economic, demographic, trade and market data globally.

At EMR, we tailor our approach according to our clients’ needs and preferences, providing them with valuable, actionable and up-to-date insights into the market, thus, helping them realize their optimum growth potential. We offer market intelligence across a range of industry verticals which include Pharmaceuticals, Food and Beverage, Technology, Retail, Chemical and Materials, Energy and Mining, Packaging and Agriculture.

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"India Online Grocery Market: By Category: Beverages, Bakery, Canned Goods, Dairy, Frozen Foods, Meat, Fresh Fruits and Vegetables, Homecare Cleaners, Personal Care; By Food Platform: Website, Mobile Application; by Average Spend per Transaction (in Rupees): < 1000, 1000 to 1500, > 1500; By Payment Method: Online, Cash on Delivery; By Cities: Bangalore, Delhi-NCR, Mumbai, Hyderabad, Pune, Others; Historical Supply and Demand (2015-2019); Supply and Demand Forecast (2020-2025); SWOT Analysis; Value Chain Analysis; Cost Analysis; Competitive Landscape & Supplier Analysis"

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