the US prefer to do shopping from websites majorly due to clarity of picture and specifications through the source . Mobile as a mode of ordering for online grocery captured lower share than the website but is expected to grow in future owing to increase in tech savvy population , rise in smart phone users and internet penetration . The rising population for using mobile for ordering online grocery can be advocated to high use of mobile apps such as Shipt , Instacart , Amazon Prime Now , Peapod , Google Express and others over the years . It was observed in 2016 that ~% of millennial used online grocery mobile app .
Which Factors are expected to Drive Growth of Online Grocery Market in the US in Future ?
Online Grocery market will grow at a tremendous rate in coming future . The market will increase at a CAGR of ~% during 2016-2021 to reach at USD ~ billion in 2021 owing to rising smart phone users and internet penetration . Introduction of startups and mergers and acquisitions is anticipated to result in expansion of this market and number of stores and hence , the accessibility will increase for the consumers . Walmart had planned in 2016 to add additional 500 stores in the US . This will have a positive impact on the industry . Millennials and Generation Z have generated the highest revenue in the US online grocery market and this trend coupled with the changing perception of the consumers about online grocery is anticipated as a major growth driver for US online grocery market . Online grocery market will be largely dominated by Bread and Dairy products in coming future . The Bread and Dairy products orders will contribute a share of ~% in 2021 with mobile-app mode of ordering getting more popular among the nationals .
Which Food Type is expected to Dominate Food Delivery Market in the US ?
Pizza dominated the US food delivery market with ~% revenue share in 2016 owing to the high consumption of pizza in the US . Italian is the most popular type of ethnic food in America and pizza tops the chart . Cheap deals and convenience have made pizza chains successful in the US . Moreover , easy availability and fast delivery have increased its consumer base leading to rising food delivery of pizza in the country . Additionally , the strong marketing strategies which include advertisements and promotional offers by players who are operating in Pizza-delivery market including Dominos , Pizza Hut , and Papa John ’ s has attracted huge number of customers towards them , providing segment dominant share . Pizza online ordering generated ~% of the total online ordering revenue in 2016 , clearly advocates high demand for Pizza delivery .
Which Mode of Ordering Generates More Revenue For Food Delivery in the US ?
Offline orders contributed ~% share in mode of food delivery in 2016 owing to the fact that people in the US tend to order through their mobile calls rather than through apps or website mode . Convenience and habit associated with ordering through offline mode has been considered as the major reason for high share of the segment . 9 out of 10 people in the US