Grocery Delivery - Caribbean | Statista Market Forecast

The Grocery Delivery market in the Caribbean is projected to reach a revenue of US$675.00m in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 4.27%, resulting in a projected market volume of US$832.00m by 2029.
On the other hand, the Retail Delivery market is projected to have a market volume of US$610.30m in 2024.
In a global comparison, China is expected to generate the highest revenue, amounting to US$266.00bn in 2024.
The average revenue per user (ARPU) in the Grocery Delivery market is projected to be US$102.40 in 2024.
Furthermore, the number of users in the Grocery Delivery market is expected to reach 9.0m users by 2029.
The user penetration in the Grocery Delivery market will be at 16.3% in 2024.
The grocery delivery market in the Caribbean is experiencing a surge in demand due to the convenience and safety it offers during the ongoing pandemic.

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 Caribbean region has seen a surge in the demand for grocery delivery services in recent years.

Customer preferences: The convenience of having groceries delivered to their doorstep has become increasingly popular among Caribbean consumers. With the rise of online shopping, customers are looking for ways to save time and avoid crowded stores. Additionally, the COVID-19 pandemic has accelerated the adoption of grocery delivery services as customers look for safer ways to shop for essentials.

Trends in the market: Several companies have entered the Caribbean grocery delivery market in recent years, including local startups and international players. These companies are competing to offer the most convenient and affordable services to customers. One trend that has emerged is the use of mobile apps to place orders and track deliveries. Another trend is the expansion of delivery options beyond traditional grocery stores to include specialty shops and farmers markets.

Local special circumstances: The Caribbean region is known for its diverse cultures and unique local products. As a result, grocery delivery services in the region must cater to these local preferences. For example, some companies offer delivery of fresh seafood and tropical fruits that are popular in the Caribbean. Additionally, some customers prefer to shop at local markets and small businesses, which presents an opportunity for grocery delivery services to partner with these businesses.

Underlying macroeconomic factors: The Caribbean region has experienced economic challenges in recent years, including high unemployment rates and low GDP growth. However, the growth of the grocery delivery market presents an opportunity for job creation and economic growth. Additionally, the region's reliance on tourism has been impacted by the COVID-19 pandemic, making the growth of the grocery delivery market even more important for the region's economy.In summary, the Caribbean grocery delivery market has seen significant growth due to customer preferences for convenience and safety, the emergence of new delivery options, the need to cater to local preferences, and the potential for economic growth.

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.