There was already a general movement towards shopping online for food and drinks during the review period, with consumers becoming increasingly familiar with the convenience this channel affords. However, the pandemic accelerated the growth rates for food and drink e-commerce.
With an increasing number of consumers shopping online for their food and drinks, grocery retailers in Sweden continued to invest heavily in their online channels. For example, ICA collaborated with the British player Ocado and invested SEK1.
Although the older generation had been slow to consider e-commerce, the pandemic forced this consumer group to also start or increase their online shopping. For instance, online grocery retailer Mat.
Even though the growth of food and drink e-commerce accelerated during the pandemic, and the share of online sales increased within overall sales of food and drink, it still accounted for only a single-digit share of value sales in 2021. Therefore, there is still potential for growth, and both the sales and the share of food and drink e-commerce are expected to continue growing.
Expectations are also changing, and in order to improve delivery times and service quality there may be more collaborations between grocery retailers and other service providers, such as automisation solutions and delivery services. In addition, investments by leading players in new warehouses and logistics centres will result in faster and smoother delivery services for groceries to meet consumer demand.
MatHem i Sverige has been a key player contributing to the rise of food and drink e-commerce in Sweden, and it is looking to increase its footprint in the country. In 2020 the company raised significant financing from investors to help support its ambitious expansion plans, with this financial muscle likely to help it compete with grocery retail giants moving forward.
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Internet retailing sales of food and drink (all packaged and fresh food and drink (hot drinks, soft drinks and alcoholic drinks).
See All of Our DefinitionsThis report originates from Passport, our Food and Drink E-Commerce research and analysis database.
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