Instant Grocery Market Expands with Rising Millennial Convenience

The global instant grocery market size was valued at USD 126.4 billion in 2021 and is expected to reach USD 588.2 billion by 2030, growing at a CAGR of 19.0% from 2022 to 2030. The rising popularity of e-commerce has significantly boosted the demand for rapid grocery delivery, driven by hyperlocal strategies that focus on providing consumers with the freshest products and the fastest delivery.

Market growth is further supported by the widespread use of smartphones and increased internet penetration. Additionally, the demand for quicker delivery services, coupled with the rising adoption of digitalization and online payment methods, is fueling industry expansion. E-commerce players are recognizing instant grocery delivery as a key growth segment and are investing heavily in developing advanced delivery platforms. The ongoing shift from physical retail to online retail is also expected to accelerate the adoption of instant grocery channels.

The market is undergoing a transformation with the introduction of innovative solutions to improve delivery speed and efficiency. Service providers are leveraging advanced technologies such as smart tracking, dynamic route optimization, and analytics to strengthen their supply chains. The growing adoption of the dark store model for quick commerce is also creating new opportunities, as major players aim to sustain 10–20-minute delivery promises by streamlining operations through dedicated fulfillment centers.

Key Market Highlights:

• North America held the largest revenue share of over 26.0% in 2021.
• By product, the food products segment dominated the market with a share of more than 62% in 2021.
• Within food products, the staples & cooking essentials segment accounted for the largest revenue share of more than 25% in 2021.
• Among non-food products, the cleaning essentials segment led the market with a share of more than 32% in 2021.

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Market Performance:

• 2021 Market Size: USD 126.4 Billion
• 2030 Projected Market Size: USD 588.2 Billion
• CAGR (2022-2030): 19.0%
• North America: Largest Market in 2021
• Asia Pacific: Fastest Growing Market

Prominent Companies & Market Dynamics:

Leading players are expanding their offerings to integrate groceries and daily essentials onto unified platforms, ensuring easy accessibility and quick delivery. For example, in August 2020, Deliveroo and Uber Eats introduced groceries on their meal delivery apps. In February 2022, Deliveroo launched a trial of its rapid grocery service “Deliveroo Hop” in collaboration with Waitrose, aiming to cut delivery times to around 10 minutes near dark store locations.

Market expansion is also fueled by investment in quick commerce infrastructure. In May 2022, India-based startup Zepto raised USD 200 million to grow its 10-minute delivery services and expand its network of dark stores, highlighting the increasing demand for instant grocery services.

Key Companies:

• Amazon, Inc.
• Swiggy
• Ocado Retail Ltd.
• Blink Commerce Pvt. Ltd.
• Instacart
• Uber Technologies, Inc.
• Walmart, Inc.
• Delivery Hero SE
• Target Corporation
• DoorDash, Inc.

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Conclusion

The instant grocery market is experiencing rapid growth, fueled by technological advancements, digital adoption, and the rising demand for faster, more convenient delivery services. With increasing investment in dark store models, supply chain innovations, and the expansion of quick commerce, the industry is set to witness strong growth opportunities over the coming years.