Grocery market in Iceland

The Icelandic Grocery eCommerce market is predicted to reach US$52.5 million by 2024 and accounts for 5.9% of the total eCommerce market in Iceland. It is expected to increase over the next years. The expected compound annual growth rate for the next four years (CAGR 2024-2028) will be 11.6%, resulting in a projected market volume of US$81.4 million by 2028. Within the Grocery market ECDB considers the following two sub-markets: Food and Beverages.

Market development

eCommerce revenue development in the Dairy Goods market in Iceland

The Icelandic Dairy Goods eCommerce market is predicted to reach US$4.1 million by 2024 and accounts for 25.5% of the Fresh Food eCommerce market in Iceland. It is expected to increase over the next years. The expected compound annual growth rate for the next four years (CAGR 2024-2028) will be 10.3%, resulting in a projected market volume of US$6.1 million by 2028. The Dairy Goods eCommerce market is a sub-market of the Fresh Food market. Further categories within the Fresh Food market are: Chilled Food, Fruits & Vegetables, Meat & Fish, and Other Fresh Food.

eCommerce revenue development in the Dairy Goods market in Iceland

in million US$

Note: Market revenue represents B2C sales of physical goods including VAT. It excludes B2B sales, C2C sales, returns, compensation for damaged or missing goods, any discounts granted and services. Data shown is using current exchange rates.

Source: ECDB analysis

eCommerce revenue growth in the Dairy Goods market in Iceland

in %

Note: Market revenue represents B2C sales of physical goods including VAT. It excludes B2B sales, C2C sales, returns, compensation for damaged or missing goods, any discounts granted and services. Data shown is using current exchange rates.

Source: ECDB analysis

Net eCommerce revenue split by sub-category

in %

Note: Data shown is using current exchange rates.

Source: ECDB analysis

20202021202220232024202520262027
Revenue (in mUS$)0.00.00.00.00.00.00.00.0
Growth (in %)45.031.961.620.969.861.190.256.3

Online share

eCommerce online share of the total Dairy Goods market in Iceland

The online share refers to the proportion of the retail volume that is transacted via the Internet. It includes purchases via desktop PC, tablet or smartphone, both via website or app. Only retail of physical goods is taken into account. In the Icelandic Dairy Goods retail market, the online share is 5.1% and will increase by an average of 5.0% to 6.2% by 2028.

eCommerce online share of the total Dairy Goods market in Iceland

in %

Note: Data shown is using current exchange rates.

Source: Statista Market Insights , ECDB analysis

20202021202220232024202520262027
Online share (in %)71.7%15.4%8.8%34.7%90.9%32.9%91.2%30.0%

Market definition

Definition of the Dairy Goods market within the Grocery market

Market definition: Grocery > Food > Fresh Food > Dairy Goods The category Dairy Goods includes the online trade of dairy goods (e.g. milk, cheese, yogurt) and eggs. This category does not cover plant-based dairy alternatives (e.g. almond milk, soy milk, coconut milk). All monetary figures refer to the annual gross revenue and do not factor in shipping costs.

In-scope

  • Dairy Goods (e.g. milk, cheese, yogurt)
  • Eggs

Out-of-scope

  • Plant-based dairy alternatives (e.g. almond milk, soy milk, coconut milk)

Market comparison

The Icelandic Dairy Goods market in a global comparison

Market comparison by growth, online share, and revenue in 2023

in %

Source: ECDB analysis