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Online grocery player Instacart launched Instacart Health in September, then announced tie-ups with primary care provider ChenMed, insurtech The Helper Bees, and medtech company Levels Health.

鈥淥ne way Target could catch up would be to leverage its higher ecommerce penetration by increasing its online grocery presence, where Target currently only has a 5.1% market share. 鈥淥verall US retail sales鈥� ecommerce shift has slowed since the spike in 2020, but US grocery sales鈥� shift to online is expected to accelerate.

Instacart is still slightly behind Walmart when it comes to share of US digital grocery sales, according to our data, but it has managed to jump from the bottom of the pack to the top in just a few years. While it鈥檚 unlikely Instacart will overtake Walmart for first, the company is battling with Amazon for second.

There鈥檚 often a perception that markets in Asia developed digital offerings far faster than the US and Europe鈥攖hat鈥檚 only partially true in retail.

Auto and parts, the largest category in US retail, will also see an above-average rise in online sales throughout our forecast period. Emerging categories are gaining ground with online shoppers. Food and beverage will stay in the lead in terms of online growth. The pandemic bump in digital grocery sales has proven to have staying power, though growth is slowing.

Walmart鈥檚 market share gains continued in Q1 as the retailer emphasizes value and convenience: The company continues to draw in more high-income shoppers, while its advertising and marketplace offerings boost revenues.

Walmart鈥檚 click-and-collect program could also help drive holiday sales, particularly when it comes to grocery. 鈥淲hen you look at what鈥檚 going to be driving digital grocery growth over the next couple of years, a lot of it is coming from sales growth and click and collect, not delivery.

Ecommerce spending fared better: Online sales rose 7% YoY to $331.6 billion in the first four months of 2024, according to Adobe, as consumers spent more on electronics and apparel and bought more groceries online. But Adobe鈥檚 research also found that shoppers are gravitating toward cheaper products鈥攁 trend that companies like Amazon, PepsiCo, and McDonald鈥檚 called out in recent earnings.

The news: Instacart beat Q1 expectations handily as bad weather drove shoppers to order more groceries online. Revenues increased 8% year over year (YoY) to $820 million, outpacing estimates of $794.5 million. Gross transaction value (GTV) rose 11% YoY, again beating analyst estimates. For Q2, Instacart expects GTV of between $8 billion and $8.15 billion, ahead of Wall Street鈥檚 projections.

The digital shelf has grown more competitive for CPG brands amid the rise of grocery ecommerce and increasing retail media ad spend.

When the cost of groceries and other essentials are eating up a bigger share of consumers鈥� wallets, they cut back on expenditures like dining out and entertainment, our analyst Blake Droesch said. Weekly visits to dining chains nationwide trended downward YoY throughout 2023, per a February 2024 report by Placer.ai. AI to the rescue?

Instacart and Uber team up to keep DoorDash at bay: Instacart hopes the deal will protect its grocery business and widen consumer appeal, while Uber looks for new customers.

The 2025 takeaway: We expect Amazon to continue experimenting with its grocery strategy to find the right balance between physical and digital. The Whole Foods micro fulfillment center is a step in the right direction, but Amazon must understand how consumers will use these hybrid locations before rolling more out.

British supermarket Morrisons became the latest UK retailer to unveil its own retail media network in September. It follows similar moves by Tesco, Boots, and Sainsbury鈥檚鈥攈eralding an acceleration of retail media in the UK. This Analyst Take will explore what鈥檚 driving the shift, as well as our predictions for the future of UK retail media networks.

Retail foot traffic is bouncing back, especially in malls, thanks to diverse tenant mixes and engaging experiences that attract shoppers, Ethan Chernofsky, senior vice president of marketing at Placer.ai, said during a recent 蘑菇AV webinar. The pandemic鈥檚 lasting influence has also changed how we shop, with more people visiting multiple grocery stores for the best deals and quality, while small-format stores are helping retailers meet local needs.

Both cards offer 10% cash back on all Samsung purchases and rewards for purchases made at select merchants, including online grocery provider bigbasket and food delivery brand Zomato. Neither has a transaction minimum. The cards come in two tiers:. The Signature card has an annual fee of INR 500 ($7), and cash back is capped at INR 10,000 ($135) annually.

Amazon will account for a high percentage of online food and beverage sales (16.2%) and health and personal care sales (33.2%) in the US this year. According to data from Yotpo, food and skincare were the most popular categories for subscription ecommerce as of September 2022. Amazon鈥檚 Subscribe & Save customers have more subscriptions compared with nonusers.

It doesn鈥檛 offer free same-day shipping on grocery orders, and it no longer offers click and collect as a fulfillment option for grocery. Its membership is driven almost entirely by in-store shopping and has remained popular amid the digital disruption in retail. Costco鈥檚 success also underscores the value of a strong private label brand.

UK food price inflation is hitting record highs鈥攂ut grocery sales are flat. Faced with rising bills, consumers are changing shopping habits to keep spending in check.

CEO Andy Jassy recently acknowledged Amazon鈥檚 need to retool its grocery concept before scaling its footprint, giving competitors a chance to extend their leads. In-store retail media reaches 鈥榯he unreachables.鈥�. Linear TV has always been the primary reach medium. But 鈥渦nreachable鈥� Gen Z and millennial audiences, migrating to streaming and other digital content, are harder than ever to connect with.

A new set of digital winners is emerging amid the market turmoil of 2022. Using our forecasts, we showcase how ecommerce, social media, fintech, and more are being transformed.