Fresh food e-commerce develops rapidly in China. In 2018, fresh food e-commerce GMV totaled 200 billion Yuan. During 2016 and 2017, the fresh food e-commerce market experienced reconstruction and many middle and small-sized were shut down and acquired. Meanwhile, e-commerce giant, Alibaba and JD, entered the fresh food market and continued investing in supply chain, logistics and other infrastructure construction and brought great new retail mode integrating online and offline business to the market.
When it comes to 2019, new retail mode in fresh food market calm down, from crazy expansion to strategic contraction and adjustment. But the modes such as forward storehouse and community purchasing are booming.
Fresh food e-commerce market is expected to develop fast in the future as the business mode become more mature, fresh food e-commerce cover more shoppers, the relative technology is more advanced and its supply chain upgrades.
For the whole fresh food e-commerce market, there is high concentration and obvious head effect. In the vertical fresh food e-commerce market, top five players accounted for 37.6%, up 12.5% compared with the previous year, which implies the market concentration rate surge and vertical fresh food e-commerce is concentrating on top players.
Chinese shoppers have formed the habit of online fresh food shopping. The data from iResearch Consulting Group show that the shoppers buying fresh food online once a week accounted for 63.8% in 2018 while those purchasing fresh food online twice or three times a week took a share of 28.6%.
Seen from the categories of fresh food bought online, 72.0% of online fresh food shoppers bought vegetables once or more a week, much higher the frequency of the whole fresh food online.