The online grocery retail sector has experienced significant growth and disruption in recent years, driven by changing consumer behaviours, technological advancements, and shifting market dynamics. This paper traces the evolution of online grocery business models, highlighting key innovations, challenges, and emerging trends. With the rise of e-commerce, grocery retailers have adapted by exploring a range of models, from traditional in-store picking to Centralised Fulfilment Centres (CFCs) and dark stores. These models are reshaping the consumer shopping experience, driven by demands for convenience, personalisation, and speed in delivery. The paper explores the strengths and limitations of these models, emphasising their impact on operational efficiency, customer satisfaction, and profitability. The advent of advanced technologies such as automation, robotics, and data analytics has played a crucial role in enhancing supply chain management and optimising delivery processes. As the market matures, new challenges, including logistical complexities, environmental sustainability, and competitive pressures, continue to shape the future of online grocery. Furthermore, the paper investigates how these business models are evolving to meet the diverse needs of consumers across different geographic and economic contexts, including emerging markets. By examining the disruptive power of these models, the paper provides insights into the strategies that retailers must adopt to stay competitive in the increasingly crowded online grocery space. The findings contribute to a deeper understanding of the transformative impact of digitalisation on the grocery industry and offer a forward-looking perspective on future trends in online grocery retailing.
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Venkatesh Ganapathy
SAMVAD
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Venkatesh Ganapathy (Fri,) studied this question.
www.synapsesocial.com/papers/68af4551ad7bf08b1ead364e — DOI: https://doi.org/10.53739/samvad/2025/v30/174612