Online grocery shopping is on the rise

For more exclusive data on consumer food and beverage behavior, download Morning Consult’s State of Food and Beverage Report: 2024.

Online grocery shopping reached new heights during the pandemic, and now it’s on the rise again. After massive purchasing disruptions, supply shocks and the resulting inflation, we are seeing a normalization of grocery prices. With this normalization, consumers are willing and able to find a little more leeway in their budgets to pay for the convenience of online grocery shopping. The service is usually more expensive than shopping yourself, even if there is no service or delivery fee: Prices on popular online delivery sites like Instacart are often higher than those on store shelves, but more and more consumers are indicating that paying the higher price is worth it costs.

Online grocery shopping is on the rise

In a May 2024 survey, 53% of U.S. adults said they were “very” or “somewhat” likely to shop online for groceries and household goods, an all-time high. That number was just 44% last August. Now, about 1 in 5 (22%) respondents say they had their groceries delivered in the past month, the most popular way to shop for groceries online.

Shoppers who have groceries delivered choose this option primarily for convenience (67%), but also for the ability to receive their order quickly (39%) and on time (30%). This convenience and time savings justify the additional costs associated with online grocery shopping, including higher list prices, delivery fees, and (hopefully) driver tips.

Millennials are huge online grocery shoppers

The demographic profile of people who shop for groceries online at least once a week shows that millennials, urbanites, and high-income households shop for groceries online more often than other groups. Millennials — especially those with children at home — are consistently convenience seekers across retail categories, given their current, busy stage of life. While the majority of online grocery shoppers represent households earning less than $50,000 per year, this reflects the size of the lower-income population as a whole. On the other hand, high-income households use online grocery shopping services at disproportionately higher rates than other income groups.

An urban lifestyle creates additional challenges when shopping for groceries every week. Many city dwellers don’t have a car to carry heavy bags home, and if they do, parking is at a premium. On the positive side, urban areas tend to be better served by widely available fast delivery options, making online grocery shopping even more accessible.

Online grocery shopping allows you to try new options

Anyone who’s been to the grocery store hungry, on a bad day, or with a child knows that stores are a great place to buy impulsively and try new things. The good news for grocers: Online grocery shopping doesn’t limit those options. Price promotions, minimum shipping prices, and digital cross-selling tactics with the added benefit of personalization are all encouraging shoppers to add new options to their online carts.

Of course, some of these substitutions may be unwanted (and often unsustainable) substitutions. Substitutes are inevitable when a product is out of stock or a store buyer cannot find a suitable item. Substitutes are usually fine, but they can go wrong when the store’s fulfilling customers don’t know the customer’s preferences. Social media is also full of examples of substitutions that defy logic and reason. Still, online grocery shoppers fit the profile of consumers who are more likely to try new brands, so it can be assumed that most of their exploration is voluntary.