By June 2020, it had ballooned to a $3.4 billion business, according to Brick Meets Click, a market research company.
Cost is the biggest reason. Peter Cloutier, the growth and commercial strategy lead at Chase Design, said it’s difficult to get groceries to a customer’s door for less than a $10 premium, which covers labor and transportation. Often, that cost is higher. The premiums are tough to swallow on top of skyrocketing food prices. In June, U.S. grocery food prices were up 12.2% over the last 12 months, the largest increase since April 1979, according to government data.
“The economy has definitely taken the wind out of our sails,” she said. “It’s just this endless pressure.”
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