Press release
Driving Growth In Grocery Transportation Through Online Grocery Shopping: A Key Factor Shaping the Future of the Groceries Transportation Market in 2025
What Are the Projections for the Size and Growth Rate of the Groceries Transportation Market?There has been a robust expansion in the market size of groceries transportation recently. The growth trajectory shows an increase from $60.5 billion in 2024 to $64.99 billion in 2025, reflecting a Compound Annual Growth Rate (CAGR) of 7.4%. Factors contributing to this historic growth include the emergence of online grocery procurement, the enlargement of urban localities, amendments in regulations, the increasing consumer preference for fresh products, and the broadening of retail chain networks.
The market size of groceries transportation is predicted to witness considerable expansion in the upcoming years, reaching $85.74 billion by 2029 with a compound annual growth rate of 7.2%. The predictors of this growth during the forecast period include the increasing presence of e-commerce, efforts towards sustainability, globalization in supply chains, evolving consumer tastes, and green-friendly transportation methods. Major anticipated trends during this forecast period are logistics powered by Artificial Intelligence, the application of advanced analytics, incorporation of blockchain technology, progress in cold chain technology, and advancements in self-driving vehicles.
What Key Elements Are Boosting Growth in the Groceries Transportation Market?
The boom in online grocery shopping is anticipated to stimulate the grocery transportation market's expansion in the future. This entails ordering groceries and basic home necessities via digital platforms and having them delivered to your doorstep. The growth of online grocery shopping is fueled by the luxury of 24/7 accessibility, home delivery, and exposure to a vast array of products. The transportation of groceries guarantees prompt delivery, lifespan of products, and satisfies the customer's need for trustful service in internet grocery shopping. For example, in August 2024, a report by the United States Census Bureau - a US-based governmental organization, disclosed that the total e-commerce sales in 2023 touched around $1,118.7 billion, suggesting a 7.6% rise from 2022 and amounted to 15.4% of overall sales, an increase from 14.7% in the previous year. Hence, the rise in online grocery shopping will be a strong growth factor for the grocery transportation market.
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Which Businesses Are at the Forefront of Groceries Transportation Market Development?
Major companies operating in the groceries transportation market are Cargill Incorporated, A.P. Møller - Maersk A/S, SYSCO Corporation, Performance Food Group Company, DB Schenker, Kuehne + Nagel International AG, C.H. Robinson Worldwide Inc., Gordon Food Service Inc., J.B. Hunt Transport Inc., Ryder System Inc., SpartanNash Company, XPO Logistics Inc., Lineage Logistics Holdings LLC, Total Quality Logistics LLC, McLane Company Inc., Hellmann Worldwide Logistics GmbH & Co. KG, NFI Industries, Werner Enterprises Inc., Americold Realty Trust, US Xpress Inc., Lynden Incorporated, Greatwide Logistics Services, Trinity Logistics Inc., H&M Bay Inc., PSS Distribution Services, Domenico Transportation Co.
What Are the Latest Innovations in the Groceries Transportation Market?
Prominent organizations in the grocery transportation sector are prioritizing the incorporation of artificial intelligence (AI)-enabled logistics solutions, including route optimization, to augment customer service and elevate the overall proficiency of the supply chain. Route optimization technologies employ machine learning (ML) methodologies to refine transportation routes and schedules. For illustration, in March 2024, Walmart Inc., a retail corporation based in the US that runs a network of hypermarkets, discount department stores, and grocery chains, introduced Element. This is an AI-powered software solution concentrated on refining truck delivery routes and schedules for items to its stores. This AI-focused technology is anticipated to escalate operational productivity and amplify customer experiences for Walmart's associates. The pricing model of the software is configured with flexibility according to usage volume and frequency, tackling the challenges of implementing AI models on a large scale. It also provides several advantages including vendor independence, cost reduction, and augmented dependability, hence simplifying the adoption of AI and ML solutions for businesses.
How Is the Groceries Transportation Market Segmented?
The groceries transportation market covered in this report is segmented -
1) By Product Type: Vegetables And Fruits, Dairy Products, Meat And Seafood, Other Product Types
2) By Transportation Mode: Roadways, Railways, Seaways, Airways
3) By Application: Retail, Food And Beverage, Consumer Goods, Other Applications
Subsegments
1) By Vegetables and Fruits: Fresh Vegetables, Fresh Fruits, Frozen Fruits and Vegetables
2) By Dairy Products: Milk, Cheese, Yogurt, Butter
3) By Meat and Seafood: Fresh Meat, Processed Meat, Fresh Seafood, Frozen Seafood
4) By Other Product Types: Baked Goods, Packaged Foods, Beverages
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Where Is the Groceries Transportation Market Growth Most Prominent?
North America was the largest region in the groceries transportation market in 2024. The regions covered in the groceries transportation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
What Is Covered In The Groceries Transportation Global Market Report?
- Market Size Analysis: Analyze the Groceries Transportation Market size by key regions, countries, product types, and applications.
- Market Segmentation Analysis: Identify various subsegments within the Groceries Transportation Market for effective categorization.
- Key Player Focus: Focus on key players to define their market value, share, and competitive landscape.
- Growth Trends Analysis: Examine individual growth trends and prospects in the Market.
- Market Contribution: Evaluate contributions of different segments to the overall Groceries Transportation Market growth.
- Growth Drivers: Detail key factors influencing market growth, including opportunities and drivers.
- Industry Challenges: Analyze challenges and risks affecting the Groceries Transportation Market.
- Competitive Developments: Analyze competitive developments, such as expansions, agreements, and new product launches in the market.
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