Aggressive promotions and strategic membership discounts drive a 21% surge in eGrocery sales, with Delivery orders reshaping the U.S. grocery landscape in March 2025

The U.S. online grocery segment is experiencing a robust rebound five years after the onset of the COVID-19 pandemic, with grocers capitalizing on aggressive promotions and strategic membership discounts to drive growth.

In March 2025, the sector registered a 21% year-over-year increase in sales, reaching $9.7 billion in monthly revenue, as revealed by the Brick Meets Click Grocery Shopper Survey conducted on March 30–31, 2025, and sponsored by Mercatus.

This remarkable recovery is primarily fueled by an expansion of the monthly active user base, especially in the Delivery channel, which has become the key growth driver amid deep discounts and tailored promotional offers launched around May 2024.

The transformation of the online grocery landscape is underscored by the significant impact of the COVID-19 pandemic on shopping behaviors.

Before the pandemic, online grocery sales were modest, with August 2019 recording $2.0 billion in monthly sales.

However, by March 2020, as consumers adapted to restrictions and lockdowns, monthly sales surged to $6.5 billion a more than 200% increase that accounted for about 60% of the cumulative growth since the pandemic began.

Following this extraordinary spike, eGrocery sales peaked in early 2021, then rebalanced through mid-2024, contributing an additional 20% to the overall gains.

More recently, the rise in subscriptions and membership promotions has driven another 20% increase, marking March 2025 as the eighth consecutive month with sales surpassing $9.5 billion.

Consumer preferences for receiving online grocery orders have also evolved notably.

Prior to the pandemic, the Ship-to-Home method commanded 42% of the market.

By March 2025, its share had dwindled to approximately 18%, while the Delivery option grew significantly from 26% in 2019 to 43% now and Pickup increased from 32% to nearly 39%.

This shift underscores a broader realignment in fulfillment methods, driven by both the strategic focus on digital convenience and the impact of competitive promotions among a diverse array of grocery retailers, including mass merchants, supermarkets, and third-party providers.

Retailers have leveraged memberships and subscription discounts as an essential tool to sustain and amplify growth.

“Delivery’s remarkable year-over-year rebound highlights the potency of promotional strategies that help customers save more money and, memberships/subscriptions are becoming essential for retaining customers and driving more recurring revenue via gains in order frequency and average order values.”

David Bishop, Partner at Brick Meets Click

These carefully crafted promotional initiatives have not only reinforced the dominance of Delivery but have also given a modest lift to Pickup services, particularly in the supermarket sector.

Further reflecting the evolution of consumer behavior, more households are now opting to use multiple fulfillment methods for their orders.

Before the pandemic, approximately 85% of monthly active users (MAUs) relied on a single method to receive their online grocery orders.

This figure dropped to around 70% starting in March 2020 as customers began mixing and matching among Pickup, Delivery, and Ship-to-Home.

The diversification in fulfillment choices signifies that varying trip missions and individual preferences continue to shape how consumers engage with online grocery platforms, necessitating that retailers monitor each channel separately to better meet their customers’ distinct needs.

The renewed competitive environment is also driven by evolving customer expectations.

“Customer expectations around online grocery have only increased since COVID-19 pushed many to give it a try. Retailers that elevate the experience with relevant offers and meaningful rewards won’t just meet shoppers’ evolving needs they’ll build stronger connections that fuel long-term growth.”

Mark Fairhurst, Chief Growth Marketing Officer at Mercatus

This insight highlights that effective customer engagement now hinges on creating tailored experiences that not only address immediate convenience but also foster enduring loyalty through continuous value delivery.

As the online grocery arena continues to evolve, the insights provided by Brick Meets Click and Mercatus serve as an essential roadmap for retailers navigating an increasingly competitive digital marketplace while meeting the changing demands of modern consumers.