Grocery Delivery - Japan | Statista Market Forecast

In 2024, the projected revenue in the Grocery Delivery market in Japan is estimated to reach ¥US$32.89bn.
It is expected to exhibit an annual growth rate of 8.29% (CAGR 2024-2029), resulting in a projected market volume of ¥US$48.98bn by 2029.
Comparatively, the Retail Delivery market in Japan is projected to have a market volume of ¥US$27.44bn in 2024.
When looking at global figures, it is noteworthy that China is expected to generate the highest revenue in the Grocery Delivery market, amounting to ¥US$266.00bn in 2024.
The average revenue per user (ARPU) in the Grocery Delivery market in Japan is projected to reach ¥US$807.30 in 2024.
Additionally, the number of users in the Grocery Delivery market is expected to reach 51.8m users by 2029.
The user penetration rate in the Grocery Delivery market in Japan is estimated to be 33.2% in 2024.
These figures highlight the significant growth potential and market opportunities within the Grocery Delivery market sector in Japan.
Despite the convenience and efficiency of grocery delivery services in Japan, traditional brick-and-mortar stores continue to dominate the market due to cultural preferences for in-person shopping experiences.

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)

Japan, known for its advanced technology and innovative ideas, has seen a significant rise in the Grocery Delivery market in recent years. The market has been evolving to cater to the changing needs of the consumers, and the pandemic has accelerated this trend.

Customer preferences: The Japanese consumers are known for their busy lifestyles, and they prefer convenience over anything else. The Grocery Delivery market has been able to cater to this need by providing doorstep delivery services. The consumers prefer to shop online as it saves them time and effort, and they can easily compare prices and products. The younger generation is more tech-savvy and prefers to shop online, whereas the older generation prefers to visit the stores.

Trends in the market: The Grocery Delivery market in Japan has seen a significant rise in demand due to the pandemic. The consumers are avoiding crowded places and prefer to shop online. The market has been evolving to cater to the changing needs of the consumers. The market is becoming more competitive, and the players are offering various services to attract customers. The players are offering same-day delivery, subscription services, and personalized shopping experiences. The players are also partnering with local stores to expand their reach and offer a wider range of products.

Local special circumstances: Japan has a unique retail landscape, and the Grocery Delivery market has to cater to the local needs. The consumers in Japan prefer high-quality products, and the market has to offer fresh and high-quality products to attract customers. The market also has to cater to the unique dietary needs of the consumers, and the players are offering a wide range of products to cater to these needs. The market also has to cater to the unique cultural needs of the consumers, and the players are offering personalized shopping experiences to cater to these needs.

Underlying macroeconomic factors: The Grocery Delivery market in Japan is driven by the changing consumer preferences and the increasing demand for convenience. The market is also driven by the increasing competition, and the players are offering various services to attract customers. The pandemic has accelerated this trend, and the market is expected to grow in the future. The market is also driven by the increasing adoption of technology and the changing retail landscape in Japan. The market is expected to become more competitive, and the players are expected to offer more services to cater to the changing needs of the consumers.

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.

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