Press release
Driving Growth In Grocery Transportation Through Online Grocery Shopping: Critical Driver Shaping the Groceries Transportation Market in 2025
Groceries Transportation Market
Groceries Transportation Market Size Valuation Forecast: What Will the Market Be Worth by 2025?
The market size for transporting groceries has seen robust expansion in the previous years. The increase is expected to move from $60.5 billion in 2024 to $64.99 billion in 2025, with a compound annual growth rate (CAGR) of 7.4%. Factors influencing this growth during the historical period include the surge in online grocery shopping, enlargement of urban regions, modifications in regulations, customer preference for fresh products, and the growth of retail chain stores.
Groceries Transportation Market Size Forecast: What's the Projected Valuation by 2029?
The size of the grocery transportation market is projected to experience considerable expansion in the coming years, increasing to $85.74 billion by 2029 with a Compound Annual Growth Rate (CAGR) of 7.2%. The predicted growth during the forecast period is due to factors such as the growth of e-commerce, initiatives for sustainability, globalization in supply chains, changes in consumer tastes, and the implementation of eco-friendly transportation practices. The projected period is also likely to see notable trends including the use of AI in logistics, the embracing of advanced analytics, the application of blockchain technology, progress in cold chain technology, and developments in self-driving vehicles.
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What Are the Drivers Transforming the Groceries Transportation Market?
The anticipated increase in online grocery shopping is predicted to boost the advancement of the grocery transportation market. Online grocery shopping involves obtaining groceries and household necessities via digital platforms and having them delivered to one's door. The growth of online grocery shopping is fueled by the ease of 24/7 accessibility, home delivery, and the opportunity to choose from a broad range of products. Transportation services for groceries ensure punctual delivery, preservation of product quality, and the fulfillment of customer expectations regarding reliable service in online grocery shopping. For illustration, a report by the United States Census Bureau, a US professional government entity, stated in August 2024, that total e-commerce sales in 2023 hit an estimated $1,118.7 billion. This was a 7.6% rise from 2022, comprising 15.4% of all sales, up from 14.7% in the prior year. Consequently, the growth of online grocery shopping will promote the development of the grocery transportation market.
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What Long-Term Trends Will Define the Future of the Groceries Transportation Market?
Leading companies in the grocery transportation market are prioritizing the integration of artificial intelligence (AI) enhanced logistics solutions, such as route optimization, to increase customer satisfaction and boost the overall efficiency of the supply chain. Route optimization technologies encompass advanced systems using machine learning (ML) processes to effectively streamline transportation routes and schedules. For example, in March 2024, American retail giant Walmart Inc., known for its hypermarkets, discount department stores, and grocery stores, unveiled Element-a dynamic AI-driven software specifically designed to optimize truck delivery routes and schedules for merchandise to its stores. This use of AI technology not only aims to increase operational efficiency but also improve customer experiences for Walmart's associates. The pricing model of the software is flexible depending on usage volume and frequency, tackling the intricate challenges involved in deploying AI models on a large scale. Furthermore, it offers advantages such as vendor lock-in avoidance, cost efficiency, and enhanced reliability, thereby facilitating the adoption of AI and ML solutions for businesses.
Which Segments in the Groceries Transportation Market Offer the Most Profit Potential?
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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Which Firms Dominate the Groceries Transportation Market by Market Share and Revenue in 2025?
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.
Which Regions Offer the Highest Growth Potential in the Groceries Transportation Market?
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.
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