Young cyber-savvy consumers will spur a predicted near-doubling of the online grocery market over the next five years, researchers have found. Food and grocery analysts IGD predict the market will grow from £4.8bn to £9.5bn in that time.
Driving the growth are consumers, aged between 18 and 34. By 2015, says IGD, 5.2% of all grocery shopping in the UK will happen over the internet, up from 3.2% at the moment.
In its UK Grocery Outlook: Opportunities beyond 2010 report, IGD said factors behind this growth included growing delivery coverage, improved home internet connections, and services from ‘click and collect’, smart phone apps and online-only stores were all driving growth.
Already, it found in its ShopperTrack survey, 7% of shoppers stock up on all their regular groceries online and 13% plan to buy more online over the next 12 months. Nine per cent of the 1,007 shoppers who took part said, however, that they would use the internet less.
Joanne Denney-Finch, chief executive of IGD, said: ““Online grocery retailing is already growing at a phenomenal rate and there is still plenty of potential for significant expansion. Although online has a small share of the overall grocery market, it will be the fastest growing channel.”