November 2024 U.S. eGrocery Sales Jump Total $10.6 Billion

Market Overview

The U.S. online grocery market ended November 2024 with $9.6 billion in monthly sales, marking 17.8% year-over-year (YOY) growth and the fourth consecutive month of sales well above $9 billion according to the Brick Meets Click/Mercatus Grocery Shopper Survey.

The uptick in sales was predominantly powered by strong expansion of the monthly active user (MAU) base as order frequency rates inched up and overall spending per order remained unchanged versus last year.

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Top-line Trends

New Record High for Households Buying eGrocery

The strong YOY growth was underpinned by record-breaking participation, with 77.8 million households engaging in online grocery shopping—breaking the old record high set during the first month of the pandemic in April 2020.

Delivery

• ‍Growth: Delivery sales surged to $3.9 billion, reflecting a 22% YOY increase.‍
• Share: 40.6% of total eGrocery sales‍
• Drivers: The uptick is fueled by an 8% rise in monthly active users (MAUs) and sustained order activity YOY.

Pickup

• ‍Growth: Pickup’s $3.9 billion in sales represents an 8% YOY gain.‍
• Share: 41.3% of all eGrocery sales‍
• Drivers: A 9% increase in the MAU base offset slight YOY drops in order frequency and average order value (AOV).

Ship-to-Home

• ‍Growth: With sales climbing over 30% to $1.7 billion, Ship-to-Home continues to rebound.‍
• Share: 18.1% of total eGrocery sales‍
• Drivers: An 11% increase in MAUs and higher AOV were pivotal in the YOY gains.

MAU Base: Supermarkets vs. Mass

Supermarkets experienced robust MAU growth of more than 30% YOY during November, spurred by aggressive discounts on memberships and subscriptions.

This momentum, however, contrasted with Mass retailers, whose MAU growth was limited to under 1% after a strong 2023. Despite this, Mass retailers maintained the largest share of MAUs, with a notable 9% increase in order frequency.

Loyalty and Customer Satisfaction

Customer satisfaction in the eGrocery space reached new heights in November, with repeat intent climbing to 65.2%, the highest since early 2020.

Supermarkets made significant gains in loyalty, with nearly 56% of households using them as their primary grocery source also placing online orders. However, Mass retailers still hold a loyalty edge, with their primary customers being 30% more likely to order online.

Strategic Takeaways for Regional Grocers

Mark Fairhurst, Chief Growth Officer at Mercatus, advised that driving larger orders and fostering repeat purchases requires creating a more personalized and seamless online grocery shopping experience.

"By offering tailored product recommendations based on customer preferences and lifestyles, alongside easy-to-use rewards programs and intuitive navigation, grocers can strengthen customer loyalty, build trust, and sustain long-term growth in the online grocery space,” noted Fairhurst.

Closing Thoughts

November’s 2024 eGrocery performance underscores the transformative potential of digital channels in reshaping grocery retail. “And, while there were several positive signs for Supermarkets, the race to retain customers and grow share-of-wallet with them is only intensifying among rivals,” stated David Bishop, Partner, Brick Meets Click.

Whether your organization needs analytical support, competitive intelligence, strategic planning or advisory services, Brick Meets Click has the insights and skills set to keep you moving forward in the eGrocery space.

Reach out to me at david.bishop@brickmeetsclick.com to learn more.

About this consumer research‍

The Brick Meets Click/Mercatus Grocery Shopping Survey is an ongoing independent research initiative created and conducted by the team at Brick Meets Click and sponsored by Mercatus.

Brick Meets Click conducted the most recent survey on November 29-30, 2024, with 1,704 adults, 18 years and older, who participated in the household’s grocery shopping, and a similar survey in November 2023 (n=1,814). Results are adjusted based on internet usage among U.S. adults to account for the non-response bias associated with online surveys. Responses are geographically representative of the U.S. and weighted by age to reflect the national population of adults, 18 years and older, according to the U.S. Census Bureau.

The three receiving methods for online grocery orders are defined as follows:

• ‍Delivery includes orders received from a first- or third-party provider like Instacart, Shipt or the retailer's own employees.‍
• Pickup includes orders that are received by customers either inside or outside a store or at a designated location/locker.‍
• Ship-to-Home includes orders that are received via common or contract carriers like FedEx, UPS, USPS, etc.

For more information about November 2024 results, check out the latest Brick Meets Click eGrocery Dashboard or visit the eGrocery Monthly Sales report page for information about subscribing to the full monthly report.