InvestorQ : Is it true that the online grocery market is expected to grow in a big way in the next few years?
diksha shah made post

Is it true that the online grocery market is expected to grow in a big way in the next few years?

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Angel dcosta answered.
2 months ago
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I think you are referring to the recent report put out by RedSeer about the size and potential of the Indian online grocery market. In the midst of rising competition for the grocery retail space in India, RedSeer report estimates the online grocery market could grow 8-fold by 2024 to a level of $18 billion. Remember, this is a small base, so big growth is possible.

According to the report, the online grocery market in India is estimated to grow at 49% in the first half of calendar year 2021 i.e. between January and June alone. The survey also observed that demand for comfort foods like noodles and cookies as well as immunity booster products had seen a sudden spurt in demand post the pandemic.

Apart from food and immunity products, it is the hygiene products that have been among the preferred picks in grocery racks. In its report, RedSeer specifically pointed out that the traditional brands that had quickly migrated into online were the players that actually saw the maximum growth.

This report could actually be great news for Reliance Jio which has the most comprehensive online grocery ecosystem in India with a hold on the demand and supply sides. This could lead to Jio Mart taking further leadership in the online delivery of groceries considering its current reach already. Other online retail players are also likely to benefit.

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