Online Grocery Market in India, By Unorganized (Kiranas (traditional variety stores), Street Markets, and Kiosks), By Organized (Supermarkets, Hypermarkets, Specialty Chains, Department Stores, and E-grocery Retailers) - Trends, Analysis and Forecast till 2034

Online Grocery Market was valued at USD 542.1 Billion in 2024 and is projected to grow at a CAGR of 35.80% to reach USD 2426.9 Billion by 2034.

Online grocery is the service that allows its users to purchase packaged and fresh food products via web based portals. An online grocery is basically an e-commerce platform, a supermarket, or a brick-and-mortar grocery store. Online grocery allows its users to place the order online. Post the order is placed, the products are delivered to the customers within a specified period of time.

High investment and customer acceptance

Rising awareness regarding the convenience of the process, internet penetration, and digital literacy across many parts of India is estimated to surge the target market growth. In addition, acceptance of online grocery purchase in India is expected to fuel the target market growth.  Additionally, rising investment due to its capability of providing high revenue visibility. Moreover, grocery forms an essential house hold purchase for the growth of the target market

Evolving dietary patterns and supporting scientific findings

The online grocers of India have introduced innovative features, such as placing an order from various vendor partners at a time, live order tracking, and multiple payment options. The online grocers in India such as Danzo, ZopNow, BigBasket, Localbanya, Grofers, PepperTap, and Jugnoo are introducing hybrid asset light businesss models, such as digital wallets, and price comparison options, which offer buyers with higher customization at an affordable price Nowadays, once a buyer logs into an online grocery portal, the user gets product suggestion based on prior product search and purchase This feature reduces the lead time in finalizing an order.

High switching rate of customers

There exists quite a large number of players in the Indian online grocery market, each allowing customers to access both through official websites and mobile apps Almost all of these companies offer lucrative discounts and offers to the customers as incentive so that new customers can be acquired while retain in the existing ones. High switching rate is the major restraining factor for the growth of the target market.

The online grocery market in India is segmented based on unorganized, and organized.

On the basis of un- organized, the online grocery market is segmented into kiranas (traditional variety stores), street markets, and kiosks. On the basis of organized, the global market is classified into super markets, hyper markets, specialty chains, department stores, and e-grocery retailers.

Regional Insights:

On region the Global Online Grocery Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

Segments Covered in the Report:

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2019 to 2029. For the purpose of this study, has segmented the online grocery market report based on test, application, and region:

Online Grocery Market, By Unorganized:

• Kiranas (Traditional Variety Stores)
• Street Markets
• Kiosks

Online Grocery Market, By Organized:

• Super Markets
• Hyper Markets
• Specialty Chains
• Department Stores
• E-grocery Retailers

The key players operating the online grocery market includes Amazon India Pvt. Ltd., Godrej Nature’s Basket Ltd., Grofers India Pvt. Ltd., Paytm E-Commerce Pvt. Ltd. (Paytm Mall), Reliance Retail Ltd. (RelianceSmart.in), Supermarket Grocery Supplies Pvt. Ltd. (BigBasket), UrDoorstepeRetailPvt. Ltd., and ZN Retail Pvt. Ltd. For instance, in 2018, BigBasket merges & acquisition in order to revives merger-related discussions with Grofers India Pvt. Ltd.

• Amazon India Pvt. Ltd.
• Godrej Nature’s Basket Ltd.
• Grofers India Pvt. Ltd.
• Paytm E-Commerce Pvt. Ltd. (Paytm Mall)
• Reliance Retail Ltd. (RelianceSmart.in)
• Supermarket Grocery Supplies Pvt. Ltd. (BigBasket)
• Ur Door step e-Retail Pvt. Ltd.
• ZN Retail Pvt. Ltd.