Skip to Content Facebook Feature Image

Online Grocery Sales Power Omnichannel Growth as Market Poised to Reach $452 Billion by 2028

Business

Online Grocery Sales Power Omnichannel Growth as Market Poised to Reach $452 Billion by 2028
Business

Business

Online Grocery Sales Power Omnichannel Growth as Market Poised to Reach $452 Billion by 2028

2026-04-22 19:01 Last Updated At:19:10

ARLINGTON, Va.--(BUSINESS WIRE)--Apr 22, 2026--

FMI–The Food Industry Association and NielsenIQ (NYSE: NIQ), a leading consumer intelligence company, find that grocery shopping is no longer a choice between store and screen, but instead a seamless blend of both in the latest Digital Engagement Transforms Grocery Shopping 2026 report. With omnichannel behaviors as the new normal, total U.S. online grocery sales will reach $452 billion by 2028, making ecommerce a primary engine of grocery progress.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260422655557/en/

The report finds that ecommerce now drives nearly three-quarters of total grocery dollar growth. In 2025 alone, online sales contributed close to 75% of total grocery dollar growth, while in-store sales remained relatively stable.

"Ecommerce is poised for extensive growth,” said Jack O’Leary, director of ecommerce strategic insights for NIQ. “With online grocery sales increasing at a projected 11.6% annual rate through 2028 and already accounting for about one-fifth of total grocery spending, success now hinges on how well retailers connect digital and physical experiences into one cohesive journey.”

Food represents one of the largest opportunities for category expansion within ecommerce. While food purchases remain primarily store-led, online food sales jumped nearly 19% in 2025. The report finds that without ecommerce, many grocery categories would post flat or declining sales, reinforcing the role of digital as a competitive lever rather than a complementary add-on.

“Omnichannel shopping is now the norm for most households,” said Steve Markenson, vice president, research & insights for FMI. “Nearly 94% of grocery shoppers in 2025 purchased both online and in-store, blending digital discovery, fulfillment and store visits based on needs, timing and convenience.”

“As online grocery continues to scale, fulfillment and speed have become critical points of competitive differentiation. Average delivery times have fallen sharply since 2018 and shoppers increasingly expect same-day or next-day delivery, especially for food,” said Doug Baker, vice president of industry relations for FMI. “Shoppers place a premium on frictionless execution across the entire shopper journey. From the digital shelf and shoppable content to fulfillment speed and the in-store experience, food retailers that offer seamless, enjoyable experiences will provide shoppers value and build loyalty.”

Looking ahead, the research points to the next phase of digital evolution. While still early, advances in artificial intelligence (AI), including agentic tools that support planning, discovery and low-consideration purchasing, have the potential to further reshape how shoppers engage with grocery. The report advises food retailers and suppliers to prepare now as these technologies mature.

Digital Engagement Transforms Grocery Shopping 2026 is part of an ongoing FMI and NIQ research series examining omnichannel growth, ecommerce performance and emerging technology across the grocery industry.

For Media

FAQs

What is the Digital Engagement Transforms Grocery Shopping 2026 report?
The report examines how omnichannel shopping behaviors, ecommerce performance, and emerging technologies are reshaping the U.S. grocery industry.

Who conducted the research behind the report?
The report was developed by FMI–The Food Industry Association in collaboration with NIQ, combining industry expertise and consumer intelligence.

What does the report reveal about online grocery sales growth?
The findings show that online grocery now drives nearly three‑quarters of total grocery dollar growth, with U.S. ecommerce sales projected to reach $452 billion by 2028.

Why is omnichannel strategy critical for the grocery industry?
Nearly 94% of grocery shoppers purchase both online and in‑store, making integrated omnichannel experiences essential to growth, convenience and loyalty.

About NIQ
NielsenIQ (NYSE: NIQ) is a leading consumer intelligence company, delivering the most complete and trusted understanding of consumer buying behavior and revealing new pathways to growth. By combining an unmatched global data footprint and granular consumer and retail measurement with decades of AI modeling expertise, NIQ builds decision systems that help companies turn complex data into confident action.

With operations in more than 90 countries, NIQ covers approximately 82% of the world’s population and more than $7.4 trillion in global consumer spend. Through cloud-based platforms, advanced analytics and AI-driven insights, NIQ delivers The Full View™—helping brands and retailers understand what consumers buy, why they buy it, and what to do next.

For more information, please visit www.niq.com.

About FMI
As the food industry association, FMI works with and on behalf of the entire industry to advance a safer, healthier and more efficient consumer food supply chain. FMI brings together a wide range of members across the value chain — from retailers that sell to consumers, to producers that supply food and other products, as well as the wide variety of companies providing critical services — to amplify the collective work of the industry. www.FMI.org

Forward Looking Statement:
This press release on Digital Engagement Transforms Grocery Shopping 2026, may contain forward-looking statements regarding anticipated consumer behaviors, market trends, and industry developments. These statements reflect current expectations and projections based on available data, historical patterns, and various assumptions. Words such as “will,” “expects,” “anticipates,” “projects,” “believes,” “forecasts,” “plan,” “look ahead,” “indicates”, and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future outcomes and are subject to inherent uncertainties, including changes in consumer preferences, economic conditions, technological advancements, and competitive dynamics. Actual results may differ materially from those expressed or implied in these statements. While we strive to base our insights on reliable data and sound methodologies, we undertake no obligation to update any forward-looking statements to reflect future events or circumstances, except to the extent required by applicable law.

© 2026 Nielsen Consumer LLC. All Rights Reserved.

NIQ-GENERAL

Online grocery sales power omnichannel growth as the market is poised to reach $452 billion by 2028, according to the latest ecommerce report unveiled by The Food Industry Association and NIQ.

Online grocery sales power omnichannel growth as the market is poised to reach $452 billion by 2028, according to the latest ecommerce report unveiled by The Food Industry Association and NIQ.

LONDON (AP) — Inflation in the U.K. climbed in March after a sharp jump in prices at the petrol pump in the wake of the disruption to energy supplies caused by the Iran war, official figures showed Wednesday.

The annual consumer price inflation rate increased to a three-month high of 3.3%, from 3% the previous month, according to the Office for National Statistics. The rise was in line with market expectations.

The main reason behind the inflation spike was higher motor fuel, which increased by a monthly 8.7% — the largest increase since June 2022, shortly after the Russian invasion of Ukraine. Airfares and food prices, both related to the spike in energy prices, were also higher.

Treasury chief Rachel Reeves, whose hopes over the cost-of-living have been blown off course by the crisis in the Middle East, said this is “not our war, but it is pushing up bills for families and businesses” as a result.

The economic fallout has put paid to any expectations that the Bank of England would cut borrowing costs. Prior to the start of the war on Feb. 28, there had been an expectation in financial markets that the bank would cut its main interest rate from 3.75% given that inflation was predicted to fall back toward its 2% target during the spring.

Inflation is set to rise further in coming months, possibly to 4%, as higher energy prices impact household bills. No economist at present thinks inflation will get anywhere near the four-decade highs above 11% in the wake of Russia's invasion of Ukraine in February 2022, partly because oil and gas prices have not spiked as much and partly because interest rates are higher.

But Bank of England policymakers will be keeping a beady eye on whether the evident inflation spike starts to spread through the economy, via higher wages for example. For now, economists think the bank will keep interest rates on hold at the next policy meeting on April 30.

Luke Bartholomew, deputy chief economist at asset management firm Aberdeen, said that it will be “hard” to see workers and firms being able to push through higher wages and prices, given the relative weakness of both the labor market and the British economy.

“That should ultimately limit the size and extent of the coming inflation shock,” he said. “For now though, the Bank of England is likely to remain in wait-and-see mode, keeping policy on hold next week and maintaining maximum optionality about whether interest rates ultimately end up increasing or decreasing later this year.”

How inflation develops will depend on what happens in the war and the crucial waterway of the Strait of Hormuz, which has been largely closed to oil tanker traffic since the onset of hostilities, stoking fears over oil and gas supplies in many parts of the world.

A resolution sooner rather than later will limit the long-term impact. With the current ceasefire seemingly uncertain, financial markets remain on edge and energy prices will stay volatile. Over the past couple of weeks, oil prices have oscillated between the $90-$100 a barrel range, having gone even higher during the conflict.

Before the war, oil prices were pretty stable around $60 a barrel.

FILE - Prices are shown on a board at a gas station in London, England, Monday, March 30, 2026. (AP Photo/Kin Cheung, File)

FILE - Prices are shown on a board at a gas station in London, England, Monday, March 30, 2026. (AP Photo/Kin Cheung, File)

Britain's Prime Minister Keir Starmer leaves 10 Downing Street in London, Monday, April 20, 2026 to face a showdown in Parliament over the appointment of Peter Mandelson as ambassador to Washington.(AP Photo/Alastair Grant)

Britain's Prime Minister Keir Starmer leaves 10 Downing Street in London, Monday, April 20, 2026 to face a showdown in Parliament over the appointment of Peter Mandelson as ambassador to Washington.(AP Photo/Alastair Grant)

Recommended Articles