Walmart is widening the gap with Amazon in grocery e-commerce
The retailer’s share of the online grocery market will expand to nearly 27% by the end of 2024, while Amazon’s slice of the business will slip to 18.5%, according to Insider Intelligence.
Walmart is expanding its market-leading position in grocery e-commerce and is on track to control 26.9% of the market by the end of 2024 – well ahead of Amazon, its closest competitor, according to data released earlier this month by Insider Intelligence.
Amazon’s share of the digital grocery space is set to decline to 18.5% over the coming year even as its sales continue to grow.
The figures for Walmart include delivery and pickup as well as sales from third-party delivery services, according to Insider Intelligence. Data for Amazon encompasses Amazon Fresh and Whole Foods Market delivery and pickup as well as direct and marketplace sales.
Walmart’s digital dominance in grocery is attributable in part to the close proximity of its stores to the vast majority of the U.S. population, a factor that gives the company an edge in the number of curbside and in-store pickup locations it offers to shoppers, Brian Lau, forecasting analyst at Insider Intelligence, said in a press release about the firm’s research. The retailer has also benefited as inflation has pushed shoppers to seek lower prices, he said.
Walmart is gaining ground on its top online grocery rival so quickly that “it will be difficult for Amazon to reverse the trend,” Insider Intelligence said.
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