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China’s digital grocery sales to reach nearly $200 billion this year

The forecast: China’s grocery ecommerce sales were expected to grow 24.6% in 2021 and reach $198.70 billion (RMB 1.36 trillion).

This followed 2020’s explosive 61.4% growth, when sales surpassed RMB 1 trillion for the first time.

Dive deeper:

  • Nearly one-fifth (19.0%) of all grocery purchases made in China were digital in 2021, up from just 9.0% in 2018. That figure will reach almost 30% by 2025.
  • Grocery brick-and-mortar sales will continue to grow modestly following the pandemic-induced decline.
  • Though online grocery ordering is not a new phenomenon, the pandemic and ensuing lockdowns, coupled with fears of being in crowded places, increased consumer adoption in China.
  • Despite increasing numbers of shoppers returning to brick-and-mortar grocery stores, the convenience of getting fresh food items delivered will be an appealing factor for many.