Home Delieved Grocery Market Doing Darn Good During Pandemic
As you can imagine ordering groceries online for home grocery delivery is a growing business during the global COVID-19 pandemic. It appears business is really good and the forecast looks even better.
Some of the big players in home-delivered groceries include Amazon, Walmart, Schwan's, Fresh Direct, HyVee, and Instacart among others.
Schwan's Company is the only one that has always done a majority of its grocery business from the back of a fleet of refrigerated trucks. Schwan's is still based in Marshall, Minnesota which is about an hour and a half Northeast of Sioux Falls which employs about 7,500 people.
Originally founded in 1952 by the late Marvin Schwan the company continues to provide door to door sales and delivery of such brands as Schwan's, Red Baron, Freschetta, Tony's, Mrs. Smith's, Edwards, Pagoda, and Larry's.
According to the Daily Chronicle, “the global Online Grocery market was valued at $115.3 million in 2018 and is projected to reach $223.4 million by 2026, growing at a CAGR of 9.1% from 2019 to 2026.”
Digital Commerce 360 reflected that prior to the pandemic online grocer sales were forecast to reach 13.5% of total grocery sales by 2025. Now that figure has risen to 21.5%.
They also reported that the most-cited reasons for shopping online for groceries were COVID-19 concerns, convenience, and saving money and time.