Grocery Delivery - Sierra Leone | Statista Market Forecast

The Grocery Delivery market in Sierra Leone is predicted to generate a revenue of US$166.90m in 2024.
This figure is projected to experience an annual growth rate (CAGR 2024-2029) of 11.84%, leading to a market volume of US$292.10m by 2029.
In comparison, the Retail Delivery market is expected to have a market volume of US$166.90m in 2024.
Among all countries, China is anticipated to generate the highest revenue, reaching US$266.00bn in 2024.
The average revenue per user (ARPU) in the Grocery Delivery market in Sierra Leone is projected to be US$272.00 in 2024.
Additionally, the number of users in the Grocery Delivery market is estimated to reach 1.0m users by 2029.
Furthermore, the user penetration rate in the Grocery Delivery market is expected to be at 6.8% in 2024.
With the rise of e-commerce platforms, Sierra Leone's grocery delivery market is experiencing significant growth, providing convenience and accessibility to consumers.

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)

Sierra Leone, a country in West Africa, has experienced a significant shift in the way people purchase groceries.

Customer preferences: As in many other countries, the COVID-19 pandemic has accelerated the adoption of online grocery shopping in Sierra Leone. Consumers have become more cautious about visiting physical stores and have turned to online platforms for their grocery needs. Additionally, the rise of the middle class in Sierra Leone has led to an increase in demand for convenience and quality in grocery shopping.

Trends in the market: The online grocery delivery market in Sierra Leone has been growing steadily over the past few years. The market is dominated by local players, who have been quick to adapt to changing consumer preferences. These players have developed user-friendly apps and websites, offering a wide range of products at competitive prices. The market is also seeing an increase in partnerships between online grocery platforms and local supermarkets, which allows for faster and more efficient delivery.

Local special circumstances: Sierra Leone has a largely informal economy, with a significant portion of the population engaged in small-scale agriculture and trading. This has led to challenges in the logistics and supply chain for online grocery delivery, as many of the products sold online are sourced from small-scale farmers and traders. Additionally, the country's poor road infrastructure and limited access to electricity pose challenges for last-mile delivery.

Underlying macroeconomic factors: Sierra Leone is one of the poorest countries in the world, with a GDP per capita of less than $500. However, the country has seen steady economic growth over the past few years, driven largely by its mining and agriculture sectors. The rise of the middle class in Sierra Leone has also contributed to the growth of the online grocery delivery market. However, the country still faces significant challenges in terms of poverty, unemployment, and infrastructure, which could impact the growth of the market in the long term.

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.