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Supermarkets and grocery retail in Australia - statistics & facts

The annual revenue of supermarkets and grocery stores in Australia has witnessed steady growth over the past decade, amounting to over 132 billion Australian dollars in 2022. Nonetheless, grocery price inflation may change the supermarket landscape in the coming years as customers search for lower prices, promotions, and discounts to reduce their household spending. Locally produced products, vegan groceries, meal kits, ready meals, and private-label goods are becoming more popular among shoppers as consumer priorities shift to environmentally friendly yet still cheap and convenient meals.

Grocery retail market leaders in Australia

Australia’s supermarket industry is dominated by four main companies, Woolworths, Coles, Aldi, and Metcash (IGA). In 2022, the Woolworths Group was Australia’s largest grocery retailer by market share, holding over 37 percent of the market, followed by its primary competitor, the Coles Group. Woolworths has enjoyed steady food sales revenue over the past few years, with sales reaching over 45 billion Australian dollars in 2022. German company, Aldi, holds the third-largest share of Australia’s grocery market, with just shy of 40 percent of shoppers across the country reporting regularly purchasing food and products from Aldi stores. Nonetheless, Aldi has yet to introduce online ordering, thus remains behind its rivals. Due to the ongoing dominance of Woolworths and Coles in Australia, it is increasingly difficult for new players to enter the market. Nonetheless, the industry has been somewhat disrupted by growth in food delivery service usage, boasting short delivery times and convenience. Furthermore, Woolworths and Coles could lose some customers to discount competitors Aldi and Costco over the next few years as customers search for cheaper options.

Australia’s expanding online grocery market

Online grocery shopping has become increasingly popular over the past few years, likely due to in-store shopping restrictions as a result of the COVID-19 pandemic. The online grocery sector is set to grow as Australian preferences for grocery shopping channels slowly change. More and more people across Australia prefer the convenience of ordering their weekly shop online, with many online grocery shoppers not intending to return to their pre-pandemic in-store shopping habits. Coles and Woolworths were the leading retailers for online grocery and beverage shopping in Australia in 2022, followed by meal delivery company, HelloFresh. In recent years, many grocery retailers have advanced their online shopping platforms, by optimizing supply chains, mobile applications, and websites, in response to the growing preference.

How is inflation affecting consumer spending on groceries?

Significant price hikes were seen across many grocery product categories in Australia in 2022, with prices continuing to grow in 2023. Over 40 percent of grocery shoppers indicated groceries were a significant stressor for them, with many searching for ways to reduce their household spending on food. The leading strategy adopted among consumers to reduce their grocery bill was looking out for deals and specials, followed by switching between different supermarkets to buy certain products. While supermarket spending habits are changing, Woolworths and Coles expect grocery sales to lift in 2023 as consumers dine out less due to inflation.
This text provides general information. Statista assumes no liability for the information given being complete or correct. Due to varying update cycles, statistics can display more up-to-date data than referenced in the text.
Published by Statista Research Department, Jan 10, 2024

Key insights

Revenue of supermarkets and grocery stores
139.2bn AUD
Grocery retailer with the largest market share
Woolworths Group
Leading product type by supermarket industry revenue share
Dry and packaged food
Get more insights

Editor’s Picks Current statistics on this topic

Annual revenue of supermarkets and grocery stores in Australia from 2014 to 2023 (in billion Australian dollars)

Retail & Trade

Annual revenue of supermarket and grocery stores Australia 2014-2023

Market share of grocery retailers in Australia in financial year 2023

Food & Nutrition

Grocery retailer market share Australia FY 2023

Number of supermarkets and grocery stores in operation in Australia in financial year 2023, by state or territory

Supermarkets

Number of operating supermarkets and grocery stores Australia FY 2023, by state

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