In 2022, US meal-kit subscription services will deliver $7.63 billion in digital sales to make up 22.8% of the country’s subscription ecommerce sales. The meal-kit subscription market has seen slowing growth since mushrooming by 85.0% in 2020, though its 17.0% increase this year is healthy nonetheless.

This is likely due to the high frequency of delivery for meal kits and similar services. In the US, meal kits alone make up a significant percentage of total subscription ecommerce sales at 22.8%, aided by massive pandemic-driven growth in 2020 and 2021.

The onset of the pandemic drove many consumers to adopt subscription ecommerce for essential items—like meal kits and pet food—as well as beauty and hobby boxes for self-care and entertainment. That dramatically propelled US subscription ecommerce sales growth in 2020 and 2021. US subscription ecommerce sales will grow by 15.0% year over year (YoY) in 2022, totaling $33.48 billion.

Offering ready-made meals and meal kits. Capturing ad dollars: Instacart is also looking to advertising to drive profits. The company hopes to generate $1 billion from its ad business this year, per The Wall Street Journal. Instacart ranks higher than any grocer on our 2022 “Retail Media Networks Perception Benchmark,” thanks in part to the traffic its platform sees.

Both have been sharing their meal kit preparations and images of the finished product since early 2021. “Gen Z's have no shortage of ads targeting them,” Lee said. “These Gen Z influencers have been an effective lever because they're able to bring the meal kit preparation process and our product to life.”.

Meal kits are experiencing an uptick in popularity as more people practice social distancing and turn to alternatives to limit their grocery store shopping.

Over the past few weeks, online grocery stores and meal kits have seen a stream of orders coming in, not only from existing customers, but also new ones looking to avoid physical stores during the pandemic. Plant-based meal company Splendid Spoon is one of those receiving demand.

., Instacart, DoorDash, Uber), and meal kit companies (i.e., Blue Apron, Hello Fresh). It excludes restaurant sales. Delivery includes home or work locations. Click and Collect: Sales of grocery products ordered using the internet for pickup in a store, curbside, drive-up or a locker in a retail, or pickup hub location.

Prior to joining the company in 2019, Lucas was senior brand manager at Blue Apron, where he focused on revenue growth and retention for the company’s core meal kit products. Moderator:. Nancy Taffera-Santos is senior vice president of media solutions and strategy at eMarketer. Nancy has been at eMarketer for over 13 years and oversees the media business, developing programs for leading advertisers.

Overall, consumers are turning to some iteration of online grocery to meet their needs, whether it’s through a company’s website or by subscribing to meal kits.

Mosaic Foods has had to acclimate to a new normal in the past few months, and as a relatively new brand, that hasn’t always been easy. Before the pandemic, employees of the meal delivery company were able to test out new recipes and offer feedback right then and there. But today, meals are shipped to co-workers who do video taste tests and offer notes.

Lunch and dinner subscription company MealPal started out as a service through which consumers could pick up meals from local restaurants during the work week—but, like many in the food industry, it has adjusted its operations for quarantined customers. The company now offers groceries supplied by local restaurants via MealPal Market.