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Demand for grocery delivery cools in the U.S. amid soaring food prices – National

Karen Raschke, a retired attorney in New York, started getting her groceries delivered early in the pandemic. Each delivery cost $30 in fees and tips, but it was worth it to avoid the store.

Then earlier this spring, Raschke learned her rent was increasing by $617 per month. Delivery was one of the first things she cut from her budget. Now, the 75-year-old walks four blocks to the grocery several times a week. She only uses delivery on rare occasions, like a recent heat wave.

“To do it every week is not sustainable,” she said.

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Raschke isn’t alone. U.S. demand for grocery delivery is cooling as prices for food and other necessities rise. Some are shifting to pickup _ a less expensive alternative where shoppers pull up curbside or go into the store to collect their already-bagged groceries _ while others say they’re comfortable doing the shopping themselves.

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Grocery delivery saw tremendous growth during the first year of the pandemic. In August 2019 _ a typical pre-pandemic month _ Americans spent $500 million on grocery delivery. By June 2020, it had ballooned to a $3.4 billion business, according to Brick Meets Click, a market research company.

Companies rushed to fill that demand. DoorDash and Uber Eats began offering grocery delivery. Kroger _ the nation’s largest grocer _ opened automated warehouses to fulfill delivery orders. Amazon opened a handful of Amazon Fresh groceries, which provide free delivery to Prime members. Hyper-fast grocery delivery companies like Jokr and Buyk expanded into U.S. cities.


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Inflation: Why the price of groceries are expected to rise


Inflation: Why the price of groceries are expected to rise – Jul 13, 2022

But as the pandemic eased, demand

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