Our new grocery market size forecasts underline how the top 20 countries globally are set to sustain their growth to 2023. By the end of the five-year timeframe we see the 20 biggest grocery markets, growing by 28%, adding US$1.9tr in sales.
Asia leading growth outlook…
Asia’s growth will be broad based. The region will contain seven of the world’s largest grocery markets by 2023 and will have a combined market size of US$3.2tr. Despite China attracting a lot of attention, there will be strong support from Indonesia and Pakistan given the large local populations, improving levels of GDP per capita and the continued development and evolution of modern trade.
…With strong support coming from Europe and US
Europe will be the second most important region in terms of additional sales between 2018 and 2023 and is forecast to generate US$449.6bn in new sales. Five key countries – France, Germany, Russia, Turkey, UK – are set to account for nearly two-thirds of all additional sales generated between 2018 and 2023.
While the outlook for North America is for a comparatively low growth scenario, together Canada and the US will account for nearly 15% of the new sales generated by the top 20 markets globally. The size of the local market underlines its continued importance to retailers and manufacturers globally.
Source: IGD Research
Despite growth, challenges remain
While the outlook for the global grocery market remains positive, challenges are likely to remain in many countries. These will be mainly driven by changing shopper choices of where and how they want to buy.
As a result, there will be a continued focus and investment in stores to make them relevant for tomorrow’s shoppers. There will also be a significant spending within the online grocery retail. The increasing pace of demand from shoppers and their increasing desire to buy little, more often is set to require an associated rise in spending on supply chains and fulfilment to make them more efficient.
The global grocery retail landscape is changing fast, with significant growth opportunities for your business. Better understand the largest markets and how we see them growing and evolving to 2023.
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