Online grocery sales see 27% annual rise in May, but dip month over month
Online grocery sales saw strong growth in May compared to a year ago.
The sector’s sales reached $8.7 billion in May 2025, a 27% year-over-year increase, according to the Brick Meets Click Grocery Shopper Survey, sponsored by Mercatus. While the sales total marks the first month since August 2024 when total monthly sales have fallen below $9.5 billion, a larger month-over-month decline had been expected based on seasonal patterns seen across online grocery.
Total online grocery sales for May fell 12% from April, compared to 16% and 20% for the same months in 2023 and 2024, respectively, due to delivery’s strong results this year.
Delivery saw a massive sales lift in May 2025, greater than 70% compared to last year, as monthly sales climbed to $3.9 billion. Brick Meets Click says the sales jump was driven by sizable gains in the monthly active user (MAU) base combined with a double-digit jump in order frequency and higher average order values (AOV) compared to last year. Delivery’s share of online grocery sales jumped nearly 13 points from last year to 45.4% in May 2025.
The May sales results follow a recent report from Brick Meets Click which revealed that the online grocery segment is projected to increase at a compound annual growth rate of 8.9% over the next five years. This figure is more than five-times faster than the 1.7% rate expected for the in-store grocery segment.
[READ MORE: Report: Online grocery sales slated to outpace in-store growth]
“Delivery’s high growth rate for May is an outlier and reflects the cumulative impact of wave after wave of promotional activity that began fueling stronger sales for the service method in June 2024,” said David Bishop, partner at Brick Meets Click. “While these promotions generally appeal to existing customers, Walmart’s effort is also helping the retailer to attract new customers. But, either way, it’s helping to grow delivery’s user base, order frequency, and AOV.”
In May, pickup sales fell 3.6% year over year to $3.2 billion. The sales decline happened despite mid-single-digit growth of the method’s MAU base that could not offset a drop in order frequency and slightly lower AOV. As a result, Brick Meets Click says pickup lost over 11 points of sales share versus last year, finishing with 37.2% in May.
Ship-to-home appears to benefit indirectly from delivery’s success, mainly in mass, as the method surged 20.7% year over year in May to $1.5 billion. This is partially fueled by consumers’ ability to buy products from pure-plays at prices on par with physical stores and enjoy free shipping, according to Brick Meets Click. Even though the method posted gains in its MAU base coupled with lifts to order frequency and AOV, ship-to-home lost 90 basis points (bps) of sales share, ending the month with 17.5%.
While the overall base of MAUs expanded more than 10% in May versus last year, the expansion was not evenly distributed. Delivery’s specific MAU base grew three-times that rate year over year, and Walmart saw its MAU base for all three online grocery methods expand about one and one-half times faster than the overall rate.
Overall online grocery order frequency rose over 10% year over year in May, due almost entirely to increases connected with delivery. Pickup’s rate contracted, and ship-to-home’s rate grew, but to a smaller degree than delivery.
The weighted average AOV, based on sales across all three methods, posted a small year over year gain of just under 4%. As with order frequency, delivery reported the highest annual increase and double the gain posted by ship-to-home, while pickup AOV contracted slightly.
The repeat intent rate for May increased 900 bps versus last year, ending the month at 66.8%. Repeat intent rates improved year over year across all customer types, spanning from first timers to the more engaged/frequent users. Brick Meets Click says this trend was also seen across key retail formats, like mass and grocery (including supermarkets and hard discounters), as well as delivery and pickup.
“These results show how quickly shopper demand has shifted to delivery over the last 12 months, raising the stakes for regional grocers,” said Mark Fairhurst, chief growth marketing officer at Mercatus. “While collaborating with delivery platforms is often essential for grocers, the key is to ensure that these partnerships strengthen – not weaken – their connection with the customer. Regionals that control the digital experience, leverage Pickup’s first-party strengths, and build trust through personalized experiences will be best positioned to retain loyalty and share as the market evolves.”
Brick Meets Click conducted the most recent survey on May 30-31, 2025, with 1,488 adults, 18 years and older, who participated in the household’s grocery shopping, and a similar survey in May 2024. Results are adjusted based on internet usage among U.S. adults to account for the non-response bias associated with online surveys. Responses are geographically representative of the U.S. and weighted by age and income to reflect the national population of adults, 18 years and older, according to the U.S. Census Bureau.
