Much of everyday life has moved online, including many tasks already on a homeowner's to-do list, like grocery shopping. In fact, the online grocery industry is thriving, worth an estimated $80.8 billion in 2026, according to a report by Grand View Research. Kitchen staples and cooking essentials account for the bulk of products sold, projected to grow at a rate of 36.8% from 2025 to 2033.
If you’re looking to start your own company and enter the world of ecommerce groceries, you’ll want to first know what you’re up against. Below, learn about the key players in grocery ecommerce, find real examples of successful online grocery stores, and learn how to set up your own successful brand.
What is ecommerce in grocery?
Ecommerce in grocery is when food retailers manage the purchase and sale of food items online via a grocery ecommerce platform. Consumers shop online for groceries just as they might clothing or electronics, and the goods are delivered directly to their home, often for an additional fee or membership.
How online grocery shopping works
Online shoppers browse items on a grocery ecommerce website. Once ready, they place an order and choose a fulfillment method. For online orders placed through local grocery stores, shoppers may have the option to select in-store pickup; all other orders are fulfilled via traditional delivery methods, which may include shipments through FedEx, UPS, or other common carriers.
Key market stats: Size, growth, and where it's headed
The global market size of the online grocery industry is projected to reach over $992 billion by 2033. Online grocery sales in the US are expected to reach $452 billion by 2028, accounting for almost 75% of total grocery growth in 2025.
The biggest ecommerce grocery companies include Walmart, Amazon, and Kroger, and many of them are propelled by fast delivery and widespread availability, but newer brands, like Thrive Market, are innovating in the grocery space.
The biggest ecommerce grocery companies in the US
While dominated by brands like Walmart, Amazon, and Kroger, the US also has new brands aiming to change traditional grocery ecommerce practices. Ahead, learn about these brands and what helps the best ecommerce grocery companies stand out.
Walmart, Amazon, and Kroger
Online grocery stores in the US are dominated by three enterprise-level companies: Walmart, Amazon, and Kroger.
- Walmart saw a 27% growth in US ecommerce sales in Q4 of 2025, and is estimated to generate $69.4 billion in ecommerce grocery sales in 2025.
- Amazon is the second-largest grocer in the US. In a June 2026 survey, 51% of respondents had purchased food or beverages on Amazon in the last 30 days.
- Kroger operates more than 2,700 physical stores, and the business reported $16 billion in ecommerce revenue in 2025, a $3 billion increase from 2024.
Challenger brands rewriting the rules
While legacy names generate significant revenue in the ecommerce grocery space, new players continue to sprout up. Thrive Market, Misfits Market, and Hungryroot each have unique value propositions that set them apart from their competitors.
- Thrive Market delivers curated healthy staples with high-quality standards, which have eliminated over 1,000 ingredients from their approved catalog. Products offered on Thrive Market are non-GMO, and the site sells over 7,000 different types of groceries.
- Misfits Market operates on a subscription-based model, providing customers with a weekly shopping window during which they can select their items. The company offers rescued, imperfect foods (such as misshapen produce or items with outdated brand packaging) in an effort to reduce food waste.
- Hungryroot is a food service that delivers groceries and recipes at affordable prices. The brand offers over 50,000 recipes and delivers weekly.
What separates the winners from the rest
The best ecommerce grocery companies offer great customer experiences, high-quality products, competitive pricing, and an easy, hassle-free shopping experience. These brands also have:
- A well-executed cold chain logistics flow
- On-time fulfillment with accurate tracking information
- Strict quality control standards for products
- Consistently fresh and undamaged items
- Excellent customer support teams
Ecommerce grocery business models that work
Just like other ecommerce categories, several different grocery delivery business models can find success, including:
- Subscription and box delivery
- Local delivery and click-and-collect
- Niche and direct-to-consumer (DTC) specialty food
- Hybrid: brick-and-mortar stores going online
Subscription and box delivery
Subscription and subscription box delivery companies send curated selections regularly, whether the items included are chosen by the company or by the customer.
For example, Bokksu sends Japanese snacks monthly with three-, six-, and 12-month subscriptions. “We’ve never stopped reiterating and improving the Bokksu snack box,” founder Danny Taing says. “I think when you just kind of let it go stale is when there’s a lot of subscription fatigue that might happen.”

Local delivery and click-and-collect
Grocery stores may tiptoe into ecommerce by adding delivery options, such as local delivery or same-day delivery. Click-and-collect models are also popular, allowing shoppers to place an order online and pick it up themselves in-store. This option is also referred to as buy online, pick up in-store (BOPIS).
Order pickups offer more than convenience for shoppers. United Supermarkets, a chain with stores in Texas and New Mexico, saw a 250% increase in online sales year over year after adding curbside pickup lanes and increasing staff to support the volume.
Niche and direct-to-consumer (DTC) specialty food
Another ecommerce grocery option is to sell specialized food products directly to consumers. For example, Brightland sells high-quality olive oil and honey made in California, while Olipop crafts healthy soda alternatives. “The idea of doing a healthy soda was ridiculous to people until we actually made it work,” says Olipop cofounder David Lester.
While these types of companies are more niche, they’re a great way to capitalize on a popular product category or find a dedicated and passionate group of consumers and cater directly to them.

Hybrid: Brick-and-mortar stores going online
If you run a brick-and-mortar shop or restaurant, another option is to expand your offerings online, whether that’s offering a BOPIS option or delivering pantry-stable favorites.
For example, Bagels on Greene started as a brick-and-mortar shop and chose to expand their offerings online. “Literally within one night [a friend] had 90% of my products online... within like four or five hours, and that was it,” says founder Amit Mahtani. “We set up the store as a pick-and-pack setup for our retail store, so everything that we put up online we treat as an ecommerce platform, not as a restaurant ordering platform.”
How Odd Bunch disrupted grocery ecommerce on Shopify
Odd Bunch founder Divy Ojha set out to disrupt the grocery industry with a goal: to save imperfect produce from the landfill. Divy’s relentless commitment to understanding farmers’ businesses led to a deeper uncovering of the reality of food waste in farm supply systems.
That in-depth research validated a large supply problem, leading Divy and Odd Bunch to success. “We've been profitable from the get-go. We've gone from 87 customers to now in the six figures,” says Divy.
The imperfect produce model
Divy saw a market opportunity in imperfect produce: 30% of produce from farms never actually makes it to the grocery store because of how it looks.
“You could shop on the website and choose exactly what box you want and save anywhere from 30 to 50% on your grocery bill while reducing, at minimum, 12 pounds of food in every box that was otherwise destined for landfills,” Divy says.

Building demand through community
When drumming up demand for Odd Bunch, Divy found that marketing to community groups worked well. “I remember it was a mom group and it was a vegan group,” says Divy. “There were two that did really well... I would say the majority of the first 87 people that signed up in that 10-day activation period, probably 80% came from that group.”
How to start an ecommerce grocery company
- Choose your business model and niche
- Set up your online store
- Configure local delivery and pickup for grocery orders
- Add subscriptions and recurring orders
- Install apps that fill grocery-specific gaps
Choose your business model and niche
Choose your ecommerce business model for your online grocery company, as well as a niche that sets you apart from the competition. This could be selling specialty products, unique items, items specific to dietary restrictions, or items specific to certain diets and lifestyles, like vegan or gluten-free.
Set up your online store
Next, set up a branded online storefront and optimize the online shopping experience for your customers. One way to do that is to use an all-in-one ecommerce platform like Shopify. You’ll need to set up product listings, collections, and payments.
Nissin Foods switched to Shopify to quickly introduce new services or purchasing methods without incurring high costs each time. “There will continue to be campaigns that cause bursts of orders, and the number of features and services that we want to leverage will continue to increase. Shopify’s Plus plan makes these things both possible and secure,” says Yuji Aoki, director of Nissin Foods Direct Marketing Co., Ltd.
Configure local delivery and pickup for grocery orders
Set up local delivery and pickup for grocery orders. If you don’t have a retail space or decide not to offer pickup, set up shipping options to fulfill online orders.
If you use Shopify, you can set up local delivery by postal code, postal codes starting with specific numbers, or postal codes located within a specific radius.
Add subscriptions and recurring orders
Enable customers to subscribe to the products you sell. Third-party subscription apps like ReCharge, Skio, and Loop offer subscription services for shops that sell subscription boxes or want to offer recurring orders for grocery staples.
Install apps that fill grocery-specific gaps
Select the other apps you need to round out any specific grocery needs. Nissin Foods found the Shopify App Store especially helpful. “The features we wanted to add could be selected from a wide variety of apps developed around the world, and could be implemented quickly and at low cost,” says Yuji.
Challenges unique to grocery ecommerce
Grocery ecommerce can be uniquely challenging, as the category faces hurdles that don’t necessarily apply to other industries. These may include:
- Perishable inventory and fulfillment complexity
- Delivery logistics: Zones, slots, and last-mile
- Building customer loyalty in a repeat-purchase category
Perishable inventory and fulfillment complexity
The need for cold chain logistics poses additional complexity for ecommerce grocery stores. Perishable products, like dairy, produce, and frozen items, each have specific temperature requirements, and any sort of break in the cold chain, like a truck that gets delayed, could result in a spoiled or late order.
Real-time inventory management is also essential for retail stores, as stock counts can change constantly. This is especially crucial for grocers who offer ecommerce and manage multiple stores, since each store carries different stock levels and serves different areas.
Solution: Temperature-controlled shipping ensures products stay at the proper temperature. An ecommerce provider like Shopify syncs inventory in real time between online and point-of-sale (POS) systems.
Delivery logistics: Zones, slots, and last-mile
Grocery delivery needs defined delivery zones, as distance influences delivery costs and impacts whether produce arrives fresh. Serving too wide of a delivery radius could cause issues with timely shipments, but a radius that’s too narrow limits your customer reach.
Delivery slots, while helpful, can run out quickly with demand. Last-mile delivery accounts for 53% of shipping costs, making it the most expensive part of the shipping process.
Solution: Define delivery zones and offer realistic windows and delivery distances. Delivery slots help stores manage and limit the amount of fresh orders that need to be packed and picked up.
Building customer loyalty in a repeat-purchase category
While grocery is inherently a repeat purchase industry (people stock up on staples on a regular basis), maintaining a loyal following can be a challenge. That’s because just one bad experience causes over 50% of customers to move on to a competitor, and multiple negative interactions cause 73% to leave.
Solution: Prioritize customer satisfaction in your business, and stay consistent on key components, like quality, on-time delivery, and customer support when things don’t go as planned.
What Bagels on Greene learned going online overnight

For Amit, moving online was a necessity. During the COVID-19 pandemic, the catering arm of Bagels on Greene “shut down overnight.” Amit pivoted, and with a friend’s help, set up a Shopify store in about five hours.
Still, Amit was deliberate about the experience he chose to build. “We set up the store as a pick-and-pack setup for our retail store so everything that we put up online we treated it as an ecommerce platform not as a restaurant ordering platform. There's no customization when you go there.” He also chose not to put every one of the business’s 4,000 items online, instead opting to feature their main products only.
Learning became a central focus: Amit made changes overnight and waited to receive customer feedback. “If it’s a big seller in retail, it doesn’t necessarily mean it will be a bestseller online, so follow the data closely, [and] don’t be afraid to change things up,” Amit says.
Ecommerce grocery companies FAQ
What is ecommerce in a grocery store?
Ecommerce in grocery is when food retailers facilitate the purchase and sale of food items online. A grocery ecommerce platform manages these sales.
Who is the largest online grocery retailer?
The largest online grocery services in the US include Walmart, Amazon, and Kroger.
What is the best online grocery service?
There is no single best online grocery service; the best service depends on your individual needs and preferences.
How do I start an online grocery business?
Start an online grocery business by choosing your business model and niche, setting up your online store, configuring local delivery and pickup for grocery orders, adding subscriptions and recurring orders, and installing apps that fill grocery-specific gaps.
Can I use Shopify to sell groceries online?
Yes, you can use Shopify to sell groceries online.












