Amazon's online grocery sales are soaring

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Amazon's online grocery sales are soaring

By Gina Acosta - 07/20/2018

Amazon's grocery sales in the second quarter were up 40% year over year, according to a new report from One Click Retail.

The report revealed which categories dominate Amazon's grocery sales, as well as the fact that Amazon has captured 18% of online grocery sales in the U.S., the largest share by far of any single retailer. 

In terms of categories, beverages continue to dominate Amazon’s grocery sales.

Since the beginning, coffee, bottled water and energy drinks have made up a majority of the company’s grocery market, and that trend shows no sign of changing; coffee sells much more than any other single product type in the Amazon grocery group, and it continues to grow by 40-plus percent annually, according to One Click Retail.

 

Amazon Grocery Q2 2018 Update

 

At the beginning of Q2, Amazon introduced new private label offerings, including coffee pods. The company’s new coffee pods, sold under the existing Solimo banner, were almost an overnight success, the report says. The flagship product already ranks among the top 25 coffee pods averaging an estimated $60,000 in weekly sales, comparable to established brands such as Caza Trail, Peet’s, and Eight O’ Clock, according to One Click Retail.

The remainder of the five best-selling grocery products for Amazon in the second quarter included the Soylent Meal Replacement Shake, McCafé Premium Roast Coffee K-Cup Pods, Nespresso Variety Pack Capsules and Dunkin’ Donuts Original Blend Medium Roast Coffee K-Cup Pods.

 

Amazon Grocery Q2 2018 Update

The other categories that had strong sales growth in the second quarter were snack foods, breakfast foods, baking ingredients, candy and gum, meal essentials, warm beverages (excluding coffee) and baby food.

 

Amazon Grocery Q2 2018 Update