Grocery Delivery - South Africa
South AfricaHighlights
Market definition
In-Scope/Out-of-scope
Market structure
Reports
Methodology
- Revenue in the Grocery Delivery market is projected to reach US$1.35bn in 2025.
- Revenue is expected to show an annual growth rate (CAGR 2025-2029) of 10.34%, resulting in a projected market volume of US$2.01bn by 2029.
- The Retail Delivery market has a projected market volume of US$976.36m in 2025.
- In global comparison, most revenue will be generated United States (US$327.91bn in 2025).
- The average revenue per user (ARPU) in the Grocery Delivery market is projected to amount to US$213.39 in 2025.
- In the Grocery Delivery market, the number of users is expected to amount to 8.3m users by 2029.
- User penetration in the Grocery Delivery market will be at 10.3% in 2025.
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.In-Scope
- Fresh food & Beverages, personal care, or household items ordered online are directly delivered to the consumer, whether ordered via a platform such as Instacart or a retailer website such as Walmart
- Online Grocery orders and delivery are both carried out by a retailer such as Walmart
- Online orders that are picked up in the supermarket such as Instacart or operating ghost warehouses and delivery logistics such as Flink. Online orders of recipe boxes where the ingredients are already preportioned such as HelloFresh
Out-Of-Scope
- Meals ordered online which are directly delivered by the restaurant, no matter if ordered via a platform such Delivery Hero and JUET EAT Takeaway or a restaurant website such as Domino's
