Online grocery delivery is exploding in Canada

Nearly three-quarters (72%) of Canadian adults said they like being able to order groceries online, while 38% said they like click-and-collect at grocery stores, according to a July 2021 PayPal-commissioned Maru Group poll. More than one in five respondents said they would get more grocery delivery after the pandemic than before.

Remote work is a key driver of adoption for food and grocery apps. The ongoing pandemic has led to more people working from home and extending the duration of their work from home , a trend that continues in many white-collar industries.

Data shows that remote workers and students in Canada are using food delivery apps and ordering groceries online more. According to the June 2021 Media Tech Monitor survey, 57% of Canadian consumers aged 18 and over said they had used a food delivery app in the past month, compared to 42% of adults. For groceries, 27% of remote workers and students ordered online, compared to only 19% of adults.

The Omicron wave has seen more consumers move away from in-store experiences , which will likely support grocery delivery in early 2022.

On top of that, shoppers in stores are facing empty shelves due to supply chain issues , coupled with staffing issues that are causing longer customer lines. The Canadian Federation of Independent Grocers said staff shortages in the retail industry were between 15 and 25 per cent in January .

Metro, one of the largest national grocery chains, reported a surge in online shopping orders in its first quarter of 2022, which ended December 18, 2021. The company also reported that its online sales have increased 167% over the past two years .

"With the rapid spread of viruses such as Omicron , many people are staying at home and choosing to shop online again , and this shopping habit of consumers is likely to continue, " said the company's CEO Eric LaFlesh on the earnings call.

Canada

Online shopping

groceries