Future growth trends in e-food

A recent study published by the PwC subsidiary Strategy& estimates that the German e-food market could treble by 2030. Other Western European countries could grow even faster. The study was based on interviews with 57 food experts in Germany, Great Britain, France, the Netherlands and Turkey.

The study reveals that e-food could account in Germany for 11% of grocery sales by 2030 (currently 4%), in the UK for 26% (currently 8%) and in the Netherlands for 25% (currently 8%).

The same respondents expect even more growth by 2050, when e-food could reach 35-50% of total grocery. For Germany, the expected figure considered possible is 43% by 2050.

This market development reflects a current combination of high levels of consumer uncertainty with ever increasing high consumer expectations. In this situation, classical grocery groups such as REWE (No. 2 in Germany and also owns a share of FLINK) compete with new e-food groups such as GORILLAS or internationally with KNUSPR and ODA. Currently the start-ups whose concepts are based on speed of delivery are suffering from high cost and changes in consumer behaviour.

In total, 90% of respondents think e-food can become a profitable business by 2030 and that on-line sales are destined to cannibalise regular in-store sales, which could experience a sales drop of around 35% by 2030.