The France food and grocery retail market is estimated to grow at a CAGR of 4.1% during the forecast period. Improvements seen in this market in recent years have largely been the result of a strengthening economy and a growth in consumer spending, as well as an increase in consumer confidence. Online grocery shopping has been a key driver of growth in recent years, food and drinks now account for more than 30% of total internet sales in France. In March 2018, e-commerce giant, Amazon entered into an agreement with Casino enabling the groups upmarket Monoprix chain to become the first local retailer to agree to sell groceries via Amazon. Collaboration like this is expected to further fuel the market growth.

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France's food and grocery retail market is segmented based on product and distribution channels. Based on the product, the food and grocery retail market is segmented into packaged foods, unpackaged foods, beverages, and other household products. Based on the distribution channel, the market is segmented into online and offline. Driven by exports of foods, groceries, and consumer goods, together with strong domestic demand has benefited both, online and offline distribution channels. Primarily, due to the COVID-19 pandemic, there has been extreme growth in e-commerce food and grocery retailing, with governments pushing its use and consumers switching to comply with social distancing/quarantine or to secure groceries that they cannot be sure will be available in store. Retailers are betting that the change will hold after the pandemic will over, with many expanding their operations. Prior to the outbreak, e-commerce was the channel with the fastest growth rate; this forced acceleration could result in a paradigm shift in some segments.

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France Food and Grocery Retail Industry Market Segmentation

By Product

Packaged Foods

Unpackaged Foods

Beverages

Other Household Products

By Distribution Channel

Online

Offline

Company Profiles

ALDI Inc.

Amazon.com, Inc.

Carrefour S.A.

E.Leclerc (The GALEC, Cooperative Co.)

Groupe Casino (Casino Guichard Perrachon ADR)

Groupement des Mousquetaires

Lidl Stiftung & Co. KG

Louis Delhaize Group

Metro AG

Norma Sàrl

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