Food Retail Market Size, Growth, and Trends 2025 to 2035

Food Retail Market Size 2025 to 2035

The global food retail market size reached at USD 13.25 trillion in 2025 and is anticipated to increase from USD 14.07 trillion in 2026 to an estimated USD 24.18 trillion by 2035, witnessing a CAGR of 6.2% during the forecast period from 2026 to 2035. The rise in convenience-oriented shopping and the huge spending on higher-quality food drive market growth.

Key Highlights

• By region, North America held approximately 42% share in the food retail market in 2025.
• By region, Asia Pacific is growing at the fastest CAGR in the market during the forecast period.
• By channel, the supermarkets & hypermarkets segment led the market in 2025. 
• By channel, the online grocery segment is growing at the fastest CAGR in the market during the forecast period. 
• By product category, the packaged food segment held 45% share in the market in 2025.
• By product category, the fresh produce segment is expected to grow at the fastest CAGR in the market during the forecast period.
• By consumer profile, the value-oriented segment held 52% share in the market in 2025.
• By consumer profile, the health & wellness focused segment is expected to grow at the fastest CAGR in the market during the forecast period.

Food Retail Industry Coverage

Market Overview

Food retail is a type of business that sells beverages and food items directly to consumers. They include distribution channels like hypermarkets, warehouse clubs, farmers markets, supermarkets, and many other stores. Food retail has a diverse range of products like vegetables, dairy products, chilled items, deli, freshly baked goods, frozen pizza, desserts, staples, breakfast foods, spices, soft drinks, juices, and many others. They offer benefits like improved food access, safe food products, consumer convenience, easy access to nutritious food, and value-added services. The examples of food retailers are Kroger, 7-Eleven, Bakeries, and Walmart. 

The food retail market growth is driven by increased spending on branded food products, the rise of online grocery shopping, the popularity of ready-to-eat items, the expansion of wholesale clubs, the high availability of quick commerce, growing sustainability awareness, heavy spending on pre-packaged food, and improved inventory management. 

What are the Key Trends in the Food Retail Market?

• Growing Private Labels: The growing consumer focus on budget-friendly options and the rapid expansion of in-house brands increases development of own-brand products. 
• Growth in Digital Platforms: The companies focus on offering a seamless shopping experience, and the need to lower labor-intensive tasks increases the development of digital platforms. The increased popularity of cashless stores and customers' focus on transparency increases demand for digital platforms. 
• Rising Urbanization: The urban people have higher food purchasing power, and the increased spending on pre-prepared foods increases demand for food retail. The expansion of fast food outlets and the increased consumption of highly processed items increase demand for food retail. 
• Expansion of Discount Stores: The increased grocery prices and the high volume of food purchasing increase demand for the discount stores like D-Mart, Aldi, Walmart, and others.

Key Technological Shift in the Food Retail Market

The food retail market is experiencing key technological shifts driven by demand for streamlining supply chains, creating seamless experiences, and enhancing personalization. The technological innovations like robotics, autonomous checkout, blockchain, machine learning, and IoT sensors lower food waste and enhances shopping experience. The AI integration is a key shift in the food retail industry, which optimizes inventory and supports personalization. 

AI easily tracks shipments of food and analyzes customer behaviour. AI predicts delays of products and easily generates shopping lists. AI improves the margin of the product and creates a new product line. AI analyzes local trends and provides customized promotions. AI improves the checkout process and optimizes store layouts. AI identifies fraudulent activity and automatically adjusts pricing. Overall, AI provides an efficient shopping experience to consumers.

• For instance, Walmart food retail company, utilizes AI for tasks like reducing waste, inventory management, and demand forecasting. 
• For instance, Tesco utilizes artificial intelligence for personalised promotions and demand forecasting. 

Trade Analysis of the Food Retail Market

• India exported 324,245 shipments of food. 
• The United States is the leading importer of ready-to-eat food. 
• India exported 45,254 shipments of ready-to-eat food. 
• Thailand exported $675M of frozen fruits and nuts in 2024. 
• The United States imported $1.31B of frozen fruits and nuts in 2024. 
• India exported $170M of tropical fruits in 2024. 
• The United States exported $74.6B of vegetable products. 

Food Retail Market Value Chain Analysis

Raw Material Procurement

• The stage acquires food raw materials like raw meat, eggs, processed ingredients, grains, fruits, dairy products, sugar, and seafood. 
• Key Players: Cargill, Suminter India Organics, Anveshan, Hyperpure, Prodo, Vedant Food Solutions, ITC Limited, VKL Spices

Quality Testing and Certification

• Quality testing verifies attributes like pesticide residues, nutritional analysis, microbiological testing, adulteration, nutritional content, packaging integrity, authenticity, and product stability. Certifications like ISO 22000, SQF Program, HACCP, and BRCGS are required for food retail. 
• Key Players: Bureau Veritas, Eurofins Scientific, ALS Limited, NSF International, SGS, Intertek, TUV SUD, AsureQuality

Waste Management and Recycling

• Waste management involves strategies like redistribution, efficient handling, source reduction, and waste separation. Waste recycling includes aspects like packaging recycling and organic waste recycling. 
• Key Players: TotalCtrl, Copia, Feeding India, Keenan Recycling, Waste Management Inc., KITRO, Phood Solutions, Earth Recycler

Inside the Aisle: Overview of the Food Retail Industry

Food Retail Market Regional Insights

Why North America is Dominating the Food Retail Market?

North America dominated the food retail market with approximately 42% share in 2025. The well-developed hypermarkets and the transition to ready-to-eat meals increase demand for food retail. The robust growth in e-commerce and the increased purchasing of premium food products help market expansion. The presence of large-scale convenience stores and the presence of companies like Costco Wholesale, Albertsons Companies, Publix Super Markets, Walmart, The Kroger Co, & Sams Club drives the market growth.

North America Food Retail Market Size 2025 to 2035

The North America food retail market size was calculated at USD 5.57 billion in 2025 with projections indicating a rise from USD 5.91 billion in 2026 to approximately USD 10.28 billion by 2035, expanding at a CAGR of 6.32% throughout the forecast period from 2026 to 2035.

The United States Powerful Contribution to Food Retail

The United States is a key contributor to the market. The rise in expenditure on organic food items and the high demand for ready-to-eat meals increase the adoption of food retail. The robust growth in online retail shopping and the massive presence of grocery stores help market expansion. The major players like Costco Wholesale Corporation, Publix Super Markets, Walmart, and Albertsons Companies support the overall market growth.

How Big is the U.S. Food Retail Market?

The U.S. food retail market size estimated at USD 4.17 billion in 2025 and is predicted to increase from USD 4.43 billion in 2026 to nearly reaching USD 7.76 billion by 2035, growing at a CAGR of 6.41% during the forecast period from 2026 to 2035.

Asia Pacific Food Retail Market Trends

Asia Pacific is experiencing the fastest growth in the market during the forecast period. The increased purchasing of higher-quality foods and the consumer interest in functional food increase demand for food retail. The huge investment in cold chain storage and the high need for ready-to-eat products increase the adoption of food retail. The government investment in food processing and the growing organizations like Lawson, Costco, & 7-Eleven drive the overall market growth.

India's Growing Expansion in Food Retail

India is rapidly growing in the market. The growing number of working women and the government support for the food processing sector increase the adoption of food retail. The huge purchasing of value-added food items and the high preference for packaged food increase demand for food retail. The growing expansion of hypermarkets and the shift towards food ordering support the overall market growth.

Food Retail Market Segmental Insights

Channel Insights

Why Supermarkets & Hypermarkets Segment Dominates the Food Retail Market?

The supermarkets & hypermarkets segment dominated the market in 2025. The increased purchasing of private-label products and the strong focus on saving consumer time increase the adoption of supermarkets. The strong focus on providing a better shopping experience to consumers increases demand for hypermarkets. The operational efficiency, convenience, easy accessibility, product variety, and competitive pricing of supermarkets & hypermarkets drive the market growth. 

The Online Grocery Segment is the Fastest-Growing in the Market During the Forecast Period

The consumer focuses on avoiding crowded stores, and the growing accessibility of online payment modes increases demand for online grocery shopping. The availability of personalised recommendations and subscription benefits in online grocery helps market expansion. The wide assortment, ultimate convenience, improved logistics, personalization, and time-saving capabilities of online grocery support the overall market growth. 

• In November 2025, Pingo Doce opened an online store with Checkout.com to unlock digital growth. The online store enhances the modern shopping experience and currently focuses on ready-made food orders. (Source: The paypers)

Product Category Insights

How did the Packaged Food Segment hold the Largest Share of the Food Retail Market? 

The packaged food segment held the largest revenue share of 45% in the market in 2025. The urban consumers' busy schedules and the strong focus on ensuring food safety increase the consumption of packaged food. The high preference for branded flavors and the growing nutritional awareness increase demand for packaged food. The convenience, consistent quality, customization availability, increased hygiene, and the extended shelf life of packaged food drive the overall market growth.

The Fresh Produce Segment is Experiencing the Fastest Growth in the Market During the Forecast Period

The consumer preference for nutrient-dense food and the expansion of online delivery apps increase demand for fresh produce. The increased consumption of exotic vegetables and the increased pre-packaged produce increases demand for fresh produce. The sustainability consciousness and the transition towards plant-based eating increase demand for fresh produce, supporting the overall market growth. 

Consumer Profile Insights

Which Consumer Profile Segment Dominated the Food Retail Market?

The value-oriented segment dominated the food retail market with 52% share in 2025. The shift towards smart shopping and the strong focus on purchasing lifestyle products increases demand for food retail. The strong presence of private-label products and the robust growth in discount chains increase the adoption of food retail. The increased buying of budget-friendly food options and the higher need for one-stop shopping drive the market growth. 

The Health & Wellness Focused Segment is the Fastest-Growing in the Market During the Forecast Period

The focus on managing chronic diseases and the heavy awareness of nutrition increases demand for health-focused food products. The growth of food as medicine and the preferability of minimally processed food increases the adoption of food retail. The strong focus on personal health supports the overall market growth.

Recent Developments in the Food Retail Market

Naver and Kurly

• In September 2025, Naver and Kurly launched a premium online grocery service, Kurly N Mart. The grocery service offers products like premium products, daily necessities, and fresh groceries. The company aims to introduce exclusive discounted products, and the customer can access free delivery. (Source: Korea Joongang Daily)

Amazon

• In October 2025, Amazon launched a price-conscious grocery brand, Amazon Grocery. The brands provide products like fresh food items, pantry essentials, and crave-worthy snacks. The brand is available across Amazon Fresh stores and online platforms. (Source: Transport Topics)

Emart24

• In June 2025, Emart24 launched its first Korean convenience store in India. The store provides products like prepared meals, lifestyle goods, and cosmetics. The store provides street foods like Korean-style hot dogs, tteokbokki, and gimbap. (Source: AJP News)

Top Companies in the Food Retail Market

• Walmart Inc.: The American retail company offers products like electronics, dry goods, fresh produce, health & wellness, apparel, frozen foods, and home goods at low prices. 
• Amazon: The technology company offers private food label brands like Amazon Kitchen, Amazon Saver, Amazon Fresh, and Happy Belly for an automated shopping experience.
• Costco Wholesale Corp.: The company is the largest retailer of poultry, wine, beef, & organic produce, and the worldwide company operates 88 warehouses.

Other Companies

• The Kroger Co.
• Carrefour S.A.
• Tesco PLC
• Ahold Delhaize
• Seven & I Holdings (7-Eleven)
• Aeon Co., Ltd.
• Reliance Retail
• J Sainsbury plc 
• Woolworths Group 
• Edeka Group
• Schwarz Group 
• Aldi Einkauf GmbH

Segments Covered in the Report

By Channel

• Supermarkets & Hypermarkets
• Online Grocery
• Convenience Stores
• Discounters & Others

By Product Category

• Packaged Food
• Fresh Produce (Fruits/Veg)
• Beverages
• Others (Household/Tobacco)

By Consumer Profile

• Value-Oriented (Dominant)
• Health & Wellness Focused
• Premium/Luxury Seekers

By Region

• North America
• Europe
• Asia Pacific
• MEA
• Latin America