Automation and technology key as global convenience space on course to hit $1 trillion by 2030

IGD (Institute of Grocery Distribution) forecasts that the global convenience channel will grow from around $900 billion in 2025 to over $1 trillion in sales by 2030, with the world’s top 20 operators accounting for over $80 billion.

However, it also predicts the channel will lose share in the grocery market as it faces rising competition from discounters, supermarkets, and rapid delivery services.

IGD’s report finds that while convenience will continue to grow at 3.5% CAGR to 2030, this will trail total grocery growth of 4.0% CAGR. As a result, it expects the channel’s share of grocery will fall from 10.7% in 2025 to 10.4% in 2030.

Sneha Haria, Insight Manager at IGD, says: “The headline growth masks a structural challenge: convenience risks becoming a bigger channel with a smaller role in grocery spending unless retailers and suppliers adapt. The channel’s historic advantages are being eroded, and without change, it will continue to lose share.”

Europe and Asia

IGD’s analysis shows that convenience’s growth and market share will vary greatly by region.

North America, the largest convenience market globally, is expected to grow the slowest, with market share declining from 16.9% in 2025 to 15.1% in 2030 as discounters and rapid delivery intensify competition.

Europe is projected to deliver the strongest market share gains, rising from 11.3% to 11.9%, driven by aggressive estate expansion and franchising. Asia will contribute the largest increase in absolute sales, but convenience penetration will remain below 8% as traditional retail and local food markets continue to compete strongly.

Losing share

The research identifies several forces driving share decline. Discounters are expanding locally and attracting value‑conscious shoppers, while supermarkets are sharpening small format propositions and fast delivery platforms are reducing immediate‑need store visits.

Rising operating costs and regulation limiting pricing flexibility are also impacting performance, as is shoppers’ perception of convenience being an expensive channel, particularly during periods of high inflation. Together, these factors are eroding convenience’s traditional advantages on proximity, speed and mission clarity.

Choice over proximity

IGD’s analysis highlights that convenience operators gaining share are those redefining the role of the store, rather than relying on proximity alone.

Successful retailers are increasingly focused on:

• Creating clear food‑for‑now and food‑for‑later missions.

• Strengthening value credentials through private label, loyalty, and simpler pricing.

• Using automation and technology to protect margins and improve efficiency.

• Adding services, food, and experiences that competitors struggle to replicate locally.

Haria concludes: “Convenience can no longer rely on proximity to justify its place in grocery. The operators gaining share are deliberately reshaping their offer around clear food missions, visible value, and everyday usefulness.”

2026 RTIH Innovation Awards

Convenience retail will be a key focus area at the 2026 RTIH Innovation Awards.

The awards are now open for entries and celebrate global retail technology innovation in a fast moving omnichannel world.

Our winners will be revealed at the 2026 RTIH Innovation Awards Ceremony, taking place at The HAC in Central London on Wednesday, 4th November.

Check out our 2025 winners here.

Our 2025 hall of fame entrants were revealed during a sold out event which took place at The HAC on 16th October and consisted of a drinks reception, three course meal, and awards ceremony presided over by award winning comedian, actress and writer Tiff Stevenson.

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “This is the awards’ fifth year as a physical event. We started off with just 30 people at the South Place Hotel not far from here, then moved to London Bridge Hotel, then The Barbican, and last year RIBA’s HQ in the West End.”

“But I’m conscious of the fact that, to quote the legend that is Taylor Swift, You’re only as hot as your last hit, baby. So, this year we’ve moved to our biggest venue yet, and also pulled in our largest number of entries to date and broken attendance records.”

He added: “This year’s submissions have without doubt been our best yet. To quote one of the judges: The examples of innovative developments across both traditional and digital retail spaces were truly remarkable.”

Congratulations to our winners, and a big thank you to our sponsors, judging panel, the legend that is Tiff Stevenson, and all those who attended our 2025 gathering.