Grocery Delivery - Bangladesh | Statista Market Forecast

The Grocery Delivery market in Bangladesh is expected to achieve a revenue of BDT US$443.70m by 2024.
This projection indicates an annual growth rate (CAGR 2024-2029) of 10.15%, leading to a market volume of approximately BDT US$719.40m by 2029.
In comparison, the Retail Delivery market is forecasted to reach a market volume of BDT US$443.70m in 2024.
Among all countries, China is anticipated to generate the highest revenue, with an estimated amount of BDT US$266.00bn in 2024.
The projected average revenue per user (ARPU) in the Grocery Delivery market of Bangladesh is expected to be BDT US$38.71 in 2024.
Furthermore, the number of users in the Grocery Delivery market is projected to reach approximately 16.7m users by 2029.
Lastly, the user penetration rate in the Grocery Delivery market is expected to be 6.6% in 2024.
The demand for grocery delivery in Bangladesh has surged due to the increasing urbanization and busy lifestyles of the population.

Definition:

The Grocery Delivery market consists of food and non-food products that people regularly buy from a grocery store, including food and beverages, pet food, household cleaning products, personal care products, and other household consumables. Grocery delivery can be purchased through several different sales channels such as Omnichannel, Quick Commerce, or directly from the store.

Structure:

Grocery Delivery contains three markets: Retail Delivery, Quick Commerce, and Meal Kit Delivery. Retail Delivery includes delivery of these products directly by supermarkets, brick-and-mortar shops, or grocery stores. The order is placed through an online shop run by the retailer (e.g. Walmart+, Amazon Fresh). Quick Commerce focuses on online delivery services that provide customers with last-mile delivery (Instacart), or operate ghost stores where product selection is limited but delivery time is faster (e.g. Gorillas, Getir, and Glovo). In this case, the platform (e.g. Gorillas) handles the delivery process. This also includes grocery delivery platforms where delivery is advertised under 3 hours, although, most players aim to deliver in minutes. Finally, Meal Kit Delivery encompasses the delivery of a recipe box where fresh ingredients are delivered to be prepared. This service is usually offered as a subscription plan (e.g. HelloFresh).

Additional Information:

Revenue figures refer to Gross Merchandise Value (GMV). User and revenue figures represent B2C services.

Fresh food & Beverages, personal care, or household items ordered online are directly delivered to the consumer, no matter if ordered via a platform (e.g., Instacart) or a retailer website (e.g., Walmart)
Online Grocery orders and delivery are both carried out by a retailer (e.g., Walmart)
Online orders that are picked up in the supermarket (e.g., Instacart) or operating ghost warehouses and delivery logistics (e.g., Flink)
Online orders of recipe boxes where the ingredients are already preportioned (e.g., HelloFresh)

Phone orders
Deliveries of prepared meals for direct consumption (e.g. Meal Delivery)

The convenience of online grocery shopping has been a growing trend in many countries, and Bangladesh is no exception.

Customer preferences: Bangladesh has a large population with a growing middle class, who are increasingly tech-savvy and time-poor. These factors have led to a greater demand for online grocery delivery services. Consumers are looking for convenience, speed, and a wide variety of products to choose from.

Trends in the market: The online grocery delivery market in Bangladesh is becoming increasingly competitive, with several local and international players entering the market. The market has grown rapidly in recent years, and it is expected to continue to grow in the coming years. One of the key trends in the market is the rise of mobile app-based grocery delivery services, which offer consumers a convenient way to shop for groceries from their smartphones. Another trend is the increasing availability of fresh and organic produce, as consumers become more health-conscious.

Local special circumstances: Bangladesh has a unique geography, with many people living in densely populated urban areas. This presents challenges for traditional brick-and-mortar grocery stores, which can be difficult to access and navigate in these areas. Online grocery delivery services offer a solution to this problem, as they can deliver groceries directly to consumers' homes. Additionally, Bangladesh has a large population of expatriate workers who live and work abroad. Many of these workers have family members who live in Bangladesh and rely on online grocery delivery services to send food and other essential items to their loved ones.

Underlying macroeconomic factors: Bangladesh has a growing economy, with a rising middle class and increasing levels of disposable income. This has led to a greater demand for convenience and luxury goods, including online grocery delivery services. Additionally, the COVID-19 pandemic has accelerated the trend towards online shopping, as many consumers have been reluctant to visit physical stores due to health concerns. This has led to a surge in demand for online grocery delivery services, which are seen as a safe and convenient way to shop for groceries during the pandemic.

Data coverage:

The data encompasses B2C enterprises. Figures are based on Gross Merchandise Value (GMV) and represent what consumers pay for these products and services. The user metrics show the number of customers who have made at least one online purchase within the past 12 months.

Modeling approach / Market size:

Market sizes are determined through a bottom-up approach, building on predefined factors for each market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies, third-party studies and reports, as well as survey results from our primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, GDP per capita, and internet connection speed. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing. The main drivers are internet users, urban population, usage of key players, and attitudes toward online services.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. GCS data is reweighted for representativeness.

This report presents a comprehensive analysis and additional information on the Ecommerce market, in a PDF format.