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Online grocery sales in UK to exceed £11bn this year

RBR Staff Writer Published 15 June 2017

A new report expects online grocery sales in the UK to reach £11.1bn in 2017 mark as shoppers increasingly purchase food online.

It is up from £9.9bn in 2016 and the proportion of Brits who say they do all of their grocery shopping online has doubled in recent years, according to research from Mintel.

By 2021, online grocery sales have been forecast by the company to reach £16.7bn and make up for 9% share of the total grocery market in the UK.

The research reveals that with market forecast to increase by 12% in the current year, the value of virtual shopping baskets is growing rapidly compared to the physical ones at supermarkets.

Mintel senior retail analyst Nick Carroll termed online grocery to be the fastest growing grocery channel.

Carroll said: “Once seen as simply a service to replicate the needs of a supermarket shop online, a number of new services came to market in 2016 that have the potential to elevate online grocery beyond this barrier and adequately serve the more fluid and frequent shopping behaviours seen in the wider market.

“Growth is being driven by encouraging users who have done most or some of their shopping online to do more. This suggests that it’s just as crucial for online grocery retailers to engage as much with their current consumer base as it is for them to attract new shoppers to drive sales.”

A number of shoppers are increasingly looking to avoid trips to the supermarket and buy online which has resulted in the growth in online grocery sales, as found by the research.

As per the research, 29% of online shoppers admitted of doing most of their grocery shopping online in the last 12 months.

It also found out that the percentage of Brits who do all of their grocery shopping on the web has doubled up from 7% to 14% in the last three years. The percentage of Brits doing some of their grocery shopping online has increased from 43% to 48% from 2014.

Image: Online grocery sales in the UK to hit a new high. Photo: courtesy of Naypong and Freedigitalphotos.net.