Grocery Delivery - Ireland | Statista Market Forecast

The projected revenue in the Grocery Delivery market in Ireland is expected to reach US$911.80m in 2024.
It is also anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 8.23%, resulting in a projected market volume of US$1.35bn by 2029.
In comparison, the projected market volume for the Retail Delivery market is US$805.90m in 2024.
Among all countries, 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$667.40 in 2024.
Furthermore, the number of users in the Grocery Delivery market is expected to reach 1.8m users by 2029.
The user penetration rate in the Grocery Delivery market is estimated to be 26.8% in 2024.
In Ireland, grocery delivery services have experienced a surge in demand due to the convenience and safety they offer amidst the ongoing COVID-19 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 demand for online grocery delivery in Ireland has been growing steadily in recent years, driven by changing consumer preferences and the convenience of e-commerce.

Customer preferences: Irish consumers are increasingly embracing online grocery shopping due to its convenience, time-saving benefits, and the ability to compare prices across different retailers. The COVID-19 pandemic has further accelerated the shift towards online shopping, as consumers have become more cautious about visiting physical stores. Additionally, the younger generation is more tech-savvy and prefers the ease of online shopping over traditional methods.

Trends in the market: One of the key trends in the Irish grocery delivery market is the rise of on-demand delivery services. Many retailers have partnered with third-party delivery services to offer same-day or next-day delivery to customers. Another trend is the growing popularity of subscription-based delivery services, which offer customers regular deliveries of groceries and other household essentials. Many retailers also offer click-and-collect services, allowing customers to order online and pick up their groceries at a nearby store.

Local special circumstances: The Irish grocery market is dominated by a small number of large retailers, including Tesco, Dunnes Stores, and SuperValu. These retailers have a strong physical presence across the country, with many consumers already familiar with their brands. However, smaller independent retailers are also entering the market and offering niche products and services to customers. Additionally, the Irish government has introduced policies to support local businesses, such as the Shop Local campaign, which encourages consumers to support small businesses in their area.

Underlying macroeconomic factors: The Irish economy has been performing well in recent years, with low unemployment rates and a growing middle class. This has led to increased consumer spending and a greater demand for convenience and luxury products. Additionally, the COVID-19 pandemic has accelerated the shift towards online shopping, with many consumers preferring to shop from the safety of their homes. However, the Irish grocery market is also facing challenges, such as increasing competition from discount retailers and the uncertainty surrounding Brexit.

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.