How has COVID-19 impacted online spend on food delivery, grocery, and pizza brands?
Figure 1: Chart shows online spend by day across food delivery, grocery delivery and pick up, and pizza delivery and pick up orders, between February 1 and April 16, 2020, according to Edison Trends. This analysis was performed on over 856,000 online transactions. Pizza Delivery vendors in the analysis include: "Pizza Hut", "Domino's Pizza", "Papa John's", "Little Caesars". Grocery vendors in the analysis include: "Instacart", "Kroger","Albertsons","ACME Markets", "Jewel-Osco", "Pavilions","Randalls", "Safeway","Shaws", "Starmarket", "Tom Thumb", "Vons", "Shipt", “Amazon Fresh”, “Walmart Grocery”. Food Delivery vendors in the analysis include: 'Postmates', 'Caviar', 'DoorDash', 'GrubHub', 'UberEats', 'Seamless', 'Eat24', 'Yelp', 'Order Up', 'Foodler', 'Amazon Restaurants', 'delivery.com', 'NeighborFavor', 'Delivery Dudes', 'Ritual', 'Bite Squad', 'Fooda', 'Tapingo'.
According to Edison Trends research, on March 13th, when a national emergency was declared in response to the COVID-19 pandemic, online grocery sales across the United States surged, with delivery and pickup sales nearly doubling from their value on the same day the week prior. On the same day, food delivery sales declined while pizza delivery remained flat.
Since March 13th, grocery pickup and delivery have continued to grow, deviating from the typical declines seen on weekdays when consumers are usually at work (see figure 1 chart where in February cyclical peaks appear on weekends and the dips are weekdays vs in March and April when the sales become more steady everyday). Food delivery sales have also risen, although the majority of orders placed still occur on weekends. Note the decline in grocery spend that took place on April 12th, which was the Easter holiday. Overall, since the week beginning March 2nd, online grocery sales have increased by 90%, while food delivery sales have increased by 51%.
Between March 30th and April 19th, grocery pickup and delivery have grown an additional 18%. Interestingly, food delivery also grew about the same amount (17%) during that time. Further, daily grocery delivery and pickup spend is higher, on average, in April than in previous months.