SALISBURY, N.C. — The U.S. online grocery market surged 27% year-over-year in May 2025, reaching $8.7 billion in total sales, according to the latest Brick Meets Click Grocery Shopper Survey, sponsored by Mercatus. This impressive growth was primarily fueled by a dramatic rise in delivery services, highlighting the evolving preferences of today’s digital grocery shoppers.
Delivery Rockets Ahead with Over 70% Growth
Delivery accounted for $3.9 billion of total May sales. This is a staggering 70% increase from last year, making it the biggest contributor to overall market expansion. The segment now commands 45.4% of total egrocery sales, up nearly 13 points year-over-year.
Several key factors drove this growth:
- A sharp increase in monthly active users (MAUs)
- Double-digit growth in order frequency
- Higher average order values (AOV)
Retailers like Walmart have played a critical role, using sustained promotions and subscriptions to boost Delivery adoption and even attract new customers. However, the report cautions that May’s growth is an outlier, reflecting momentum from promotions that began in mid-2024.
Pickup Falters, Ship-to-Home Gains
In contrast, Pickup sales fell 3.6% to $3.2 billion, despite growth in its MAU base. The decline was due to fewer orders per user and slightly lower order values. As a result, Pickup’s share dropped more than 11 points, settling at 37.2%.
Meanwhile, Ship-to-Home rose 20.7% year-over-year to $1.5 billion, benefiting indirectly from Delivery’s popularity, especially in the Mass channel. Yet its share slipped slightly to 17.5%, due to broader market shifts.
Shoppers Order More Often, Cross-Shop More Frequently
The egrocery market also saw:
- A 10%+ increase in total MAUs
- More than 10% growth in overall order frequency
- Significant gains in Delivery MAUs, growing at three times the market rate
Satisfaction also improved across the board, with repeat intent reaching 66.8%, up 900 basis points year-over-year.
However, cross-shopping is intensifying:
- 33.7% of Grocery MAUs also shopped Mass retailers online
- Nearly 25% of Grocery MAUs ordered from Walmart—up from 20% last year
Mercatus Urges Grocers to Focus on Experience
"These results show how quickly shopper demand has shifted to Delivery over the last 12 months, raising the stakes for regional grocers,” states Mark Fairhurst, Chief Growth Marketing Officer, Mercatus.
Fairhurst emphasizes these two key points:
- While collaborating with delivery platforms is often essential, grocers must ensure these partnerships strengthen their connection with the customer, not weaken.
- Regional grocers who prioritize controlling the digital experience, leveraging Pickup's strengths, and building trust through personalized experiences will be best positioned to retain loyalty and market share as the market evolves.
About the Survey
The May 2025 Brick Meets Click survey included 1,488 adult grocery decision-makers and was weighted to U.S. Census demographics. It was fielded May 30-31, 2025. Online grocery methods are defined as:
- Delivery includes orders received from a first- or third-party provider like Instacart, Shipt or the retailer's own employees.
- Pickup includes orders received by customers either inside or outside a store or at a designated location/locker.
- Ship-to-Home includes orders received via common or contract carriers like FedEx, UPS, USPS, etc.
