Attention shoppers: Increased external competition has hindered growth

The Supermarkets and Grocery Stores industry in Illinois has struggled to grow over the past five years as the adult population decreased and competition rose. Even so, rising per capita disposable income has led many consumers to shift to premium food products. Private-label, generic goods have grown in popularity, as operators have invested in these products over the period. While a shift toward more generic goods curbs revenue growth, it helps operators maintain profit margins, as store brands are less costly to produce than national brands. Overall, industry revenue is expected to decrease. Despite revenue growth during the later portion of the period, industry operators encountered intensifying competition from alternative retailers...purchase to read more.

Industry Statistics & Market Size
Revenue
$21bn
Annual Growth 12-17
-1.1%
Forecast Growth 17-22
Profit
Employment
99,913
Businesses
2,746

Industry Threats & Opportunities

  • Rising per capita disposable income has led many consumers to shift to premium, private-label food products
  • Operators have invested in store expansions and improvements to combat competition
  • Millennials have popularized stores that sell premium, private-label foods
  • Industry Report - Starting a New Business Chapter

    Barriers to entry in the Supermarkets and Grocery Stores industry in Illinois are moderate. However, the level of initial capital investment is high. In the past, the major operational cost for industry participants was wages. In addition, the introduction and installation of point-of-sale (POS) systems over the past decade has raised the level of capital expenditure for supermarkets. POS systems are not the only consideration for a prospect; new entrants must consider a range of expenses, including leasing a building. Start-up costs can be financed through a combination of owner investment, short-term loans and long-term borrowing. If new entrants are unable to secure financing for these initial investments, they will not be able to enter the industry...purchase to read more.

    Additional Insights for the Supermarkets & Grocery Stores in Illinois Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Supermarkets & Grocery Stores in Illinois Industry are

  • Proximity to key markets
  • Access to multiskilled and flexible workforce
  • Ability to control stock on hand
  • IBISWorld analysts also discuss how external factors such as Per Capita Disposable Income in Illinois and Number of adults aged 20 to 64 in Illinois in the Supermarkets & Grocery Stores in Illinois industry impact industry performance..

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    What's in this report

    What is the Supermarkets & Grocery Stores in Illinois Industry?

    The Supermarkets and Grocery Stores industry makes up the largest food retail channel in the United States. Establishments in this industry retail general lines of food products, including fresh and prepared meats, poultry and seafood, canned and frozen foods, fresh fruits and vegetables and various dairy products. Delicatessens primarily retailing food are also included.

    Industry Products
  • Other foods
  • Beverages
  • Dairy products
  • Frozen foods
  • Other nonfood items
  • Fresh and frozen meat
  • Drugs and health products
  • Fruits and vegetables
  • Industry Activities
  • Retailing a general line of food
  • Retailing health and beauty products
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Per Capita Disposable Income in Illinois
  • Number of adults aged 20 to 64 in Illinois
  • Agricultural price index
  • Healthy eating index

  • Current Performance
  • Industry threats
  • Areas of growth
  • Profit and participation
  • Chart: Revenue Growth

  • Industry Outlook
  • Industry trends
  • Online competition
  • Industry participation
  • Table: Supermarkets & Grocery Stores in Illinois Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Supermarkets & Grocery Stores in Illinois Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Beef & Pork Wholesaling
  • Confectionery Wholesaling
  • Dairy Wholesaling
  • Egg & Poultry Wholesaling
  • Fish & Seafood Wholesaling
  • Frozen Food Wholesaling
  • Fruit & Vegetable Wholesaling
  • Grocery Wholesaling

  • Products & Services
  • Other foods
  • Beverages
  • Dairy products
  • Other nonfood items
  • Fresh and frozen meat
  • Frozen foods
  • Drugs and health products
  • Fruits and vegetables
  • Chart: Supermarkets & Grocery Stores in Illinois Industry Products and Services Segmentation

  • Major Markets
  • Households earning over $70,000
  • Households earning $30,000 to $69,999
  • Households earning less than $29,999
  • Chart: Major Market Segmentation for the Supermarkets & Grocery Stores in Illinois Industry

  • Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesOther
  • Chart: Cost Structure Benchmarking – Sector vs Supermarkets & Grocery Stores in Illinois

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Supermarkets & Grocery Stores in Illinois Industry

  • Albertsons Companies LLC, ALDI US, The Kroger Co., Meijer Inc., Trader Joe's, Whole Foods Market Inc., Niemann Foods Inc.,
  • Table: Albertsons Companies LLC - financial performance
  • Table: ALDI US - financial performance
  • Table: The Kroger Co. - financial performance
  • Table: Meijer Inc. - financial performance
  • Table: Trader Joe's - financial performance
  • Table: Whole Foods Market Inc. - financial performance
  • Table: Niemann Foods Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Supermarkets & Grocery Stores in Illinois Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Supermarkets & Grocery Stores in Illinois Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • IL- Per Capita Disposable Income in Illinois (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Fresh Format Stores
  • Stores that differ from traditional supermarkets by offering an extensive array of premium organic, ethnic and specialty items.
  • Limited Assortment Stores
  • Stores that are more compact than traditional supermarkets, and low sell a limited variety of low-priced private label items.
  • Point Of Sale System
  • A hardware or software system that traces where a transaction occurs at a retail establishment or store.
  • Premium Brands
  • Brands that are produced by regional, national or international companies. They are typically priced higher than private label brands and are often considered to be of higher quality.
  • Private Label Brands
  • Brands that are offered by retailers and compete with regional, national and international brands.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Supermarkets & Grocery Stores in Illinois Industry Research Report contains up-to-date data and analysis, allowing you to identify the strengths and potential weaknesses of major companies in the industry. Build your credibility with clients and prospects by sharing insights into the current and emerging trends driving their industry. Our market research gives you the tools to win new business and keep existing clients.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Supermarkets & Grocery Stores in Illinois:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Supermarkets & Grocery Stores in Illinois market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Supermarkets & Grocery Stores in Illinois, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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