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Substantial transformations, driven by a combination of minor and major trends, have affected one of the United States’ largest sectors, food retail. These include the impact of the pandemic, food inflation, and shifts in consumer behavior that have shaped the industry landscape. For example, increased demand for online shopping has had a major impact, with food and beverage sales as a percentage of total retail e-commerce sales increasing from 9.3 percent in 2017 to nearly 16 percent in 2023, and projected to reach 21.5 percent by 2027. In addition, the recent inflationary pressure is adding further challenges to the industry, and driving the need for change and evolution in both retailers and consumer behavior. Despite these challenges, retail and food services sales in the country have remained strong and continue to experience steady growth.
How big is the U.S. food retail industry?
The food retail industry in the United States comprises foods sold at grocery stores, convenience stores, drug stores, mass merchandisers, and foodservice facilities. Major players in the industry include Walmart, Kroger, and Walgreens. However, despite the growth of such major supermarket chains and the emergence of online food purchases, there is still a significant network of specialty food and convenience stores meeting the needs of local neighborhoods. In the United States, retail and food services sales amounted to over eight trillion U.S. dollars in 2023, an increase of more than three percent from the previous year. The total number of supermarkets and other grocery stores in the U.S. has declined slightly to about 62 thousand, with sales of that format hitting an estimated 846 billion U.S. dollars in 2023, which accounted for 85 percent of the U.S. food and beverage retail market .
Online developments in the food retail industry
Shoppers in the United States tend to favor supermarkets as their go-to source for everyday food and products. While physical stores continue to dominate grocery sales, the digital segment is expected to experience significant growth in the coming years, building on the already substantial growth experienced during the pandemic. More and more Americans are turning to online channels to fulfill their grocery needs, with online sales projected to account for 17.2 percent of the total grocery market in 2024. Greater convenience and improved delivery options are among the reasons why online grocery shopping sales in the country are projected to reach nearly 190 billion U.S. dollars by 2024. Consumers now have a plethora of platforms and channels through which they can purchase groceries online, including online services offered by traditional food retailers such as Walmart. Despite growing competition, the company still captures around 28 percent of grocery delivery and pickup sales.
This text provides general information. Statista assumes no liability for the information given being complete or correct. Due to varying update cycles, statistics can display more up-to-date data than referenced in the text.
T. Ozbun Research expert covering food retail and all food topics for Italy and Brazil 
Key insights
- Sales of retail food and beverage stores in the U.S.
- 985.3bn USD
Detailed statistics
Annual sales of retail food and beverage stores in the U.S. 1992-2023
- U.S. food and beverage e-retail revenue
- 925n USD
Detailed statistics
Revenue of the e-commerce industry in the U.S. 2017-2027
- Grocery store sales in the U.S.
- 884.8bn USD
Detailed statistics
Grocery store sales in the U.S. 1992-2023
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U.S. household food expenditure on average 2000-2022
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