Online Grocery Market Share by Company
With an increasing number of people shopping for groceries online, it should come as no surprise that the online grocery market in the United States is set to hit $219.9 billion in 2024.
But just what are US consumers’ preferred online grocery stores? Here’s a breakdown of the online grocery market share by company.
Online grocery market share: top 6 companies
According to a recent analysis, Walmart has the largest online grocery market share out of all businesses selling groceries online. Its share is set to hit 25.7% in 2024, holding steady from the previous year. This means that more than $1 out of every $4 consumers spend on buying groceries online this year will be on Walmart.
This is also the fifth year running that Walmart’s held the biggest online grocery market share, after it surpassed Amazon in 2020 to take the top spot. Apart from a marginal one percentage point fall in 2021 , Walmart’s online grocery share has mostly been increasing every year since 2017. In fact, its market share in 2024 marks an 8.6 percentage point increase from its 17.1% market share in 2017.
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Second on the list ranking online grocery market share by company is Amazon, with 22%. Contrary to Walmart, Amazon’s online grocery market share has mostly been falling over the past few years. In 2017, it had a market share of 24.2%.
Instacart follows close behind in third place, with a share of 21.6%, a slight 0.2 percentage point decrease from 2021. This is the first year Instacart’s digital grocery sales market share is set to decline in at least eight years. The San Francisco-headquartered company saw its share more than double in 2020 as a result of the COVID-19 pandemic. That year, its share surged to 21.5%, from 10.2% in 2019. Online grocery sales more than tripled, from $7.1 billion in 2019, to $23.4 billion in 2020.
Together, Walmart, Amazon, and Instacart’s market shares total 69.3%. In other words, nearly two-thirds of the expected online grocery expenditure in 2024 is set to be on these three companies.
The Kroger Co. is the company with the fourth-largest online grocery market share. At 9.9% in 2024, its market share is not expected to change from the previous year. Target and Albertsons Companies wrap up the list, with market shares of 4.8% and 3.4%, respectively.