In this article, we will be taking a look at the 20 biggest supermarket chains in the US. If you are not interested in reading the detail of the supermarket industry, feel free to head straight to the 5 Biggest Supermarket Chains In The US.
The United States boasts a diverse and expansive retail landscape, with a multitude of supermarket chains catering to the ever-evolving needs of consumers. These supermarket giants have not only transformed the way Americans shop for groceries but have also become integral parts of their daily lives. From coast to coast, these retail giants offer various products, from fresh produce to household essentials, making them the go-to destinations for millions of shoppers. In this overview, we’ll explore some of the most prominent and influential supermarket chains that have left an indelible mark on the American shopping experience, redefining convenience, variety, and quality in the world of retail.
Historical Overview of the U.S. Supermarket Industry
The U.S. supermarket industry has a rich and fascinating history that spans over a century. In the early 20th century, independent grocers were the leading players in the market, but they faced increasing competition from chain stores in the 1920s and 1930s.
The first supermarket, King Kullen, set the standard for modern supermarkets with its wide selection of goods and low prices. During World War II, the industry experienced significant growth due to increased demand for food due to rationing. The post-war years saw even more growth as the baby boom increased demand for family-friendly supermarkets.
The industry consolidated in the 1960s and 1970s as large chains acquired smaller stores, increasing efficiency, lowering prices and raising concerns about the impact on small businesses. A few large chains dominate the U.S. supermarket industry today, but there is still room for independent stores and speciality markets.
According to recent statistics, the industry generated over $420 billion in sales in 2022, with Walmart leading as the largest supermarket chain in the country. Online shopping and home delivery have become increasingly popular, with online grocery sales reaching $9.3 billion in January 2021. By 2025, online grocery is forecasted to constitute a substantial portion of the $1.16 trillion grocery market, with an estimated value of around $250.26 billion.
Despite the changes, the supermarket remains a cornerstone of the American retail landscape, and it continues to evolve to meet the needs of consumers.
Market Strategies and Innovations of Major Supermarket Chains
Major supermarket chains in the U.S.A. like Walmart, H.E.B. and Target are constantly striving to stay ahead of the competition, and one of the ways they do this is by offering a wider variety of products to customers. Supermarkets cater to diverse customers, from organic, gluten-free, and vegan options to speciality items such as exotic fruits and internationally sourced spices.
In fact, according to a report by I.F.T., the organic food market in the U.S. alone was worth over $50 billion in 2019. Another innovation in the supermarket industry is the integration of technology into the shopping experience. With the option to order groceries online and pick them up in-store or have them delivered to their doorstep, customers can enjoy a convenient and contactless shopping experience.
Sustainability and eco-friendliness are also essential factors for many supermarket chains. By implementing recycling programs, reducing plastic packaging, and sourcing products from local farmers and suppliers, supermarkets contribute to a more sustainable future. Overall, it’s clear that major supermarket chains in the U.S.A. are not only innovating their market strategies but also taking steps towards a more sustainable and customer-centric future.
Consumer Preferences and Trends in Supermarket Shopping
Regarding supermarket shopping in the U.S., consumers have various preferences and trends shaping the industry. One of the biggest trends is the desire for healthier options, with many shoppers seeking organic, non-GMO, and locally sourced products.
Convenience is also a top priority for many consumers, with online grocery shopping and home delivery services becoming increasingly popular. A recent survey found that 72% of U.S. shoppers have purchased groceries online in the past 90 days. Price is always a consideration for shoppers, and many are turning to discount retailers and private-label brands to save money. However, quality and brand recognition are crucial for many consumers when purchasing. In 2020, private label sales in the U.S. reached $229 billion.
Finally, sustainability is becoming a more important consideration for shoppers, with many seeking out products and retailers that prioritize environmentally friendly practices and packaging. According to a survey, 75% of consumers would switch to a more environmentally friendly brand.
Our Methodology
For our methodology, we have ranked the biggest supermarket chains in the U.S. based on their revenues in 2022 in ascending order, based on the publicly available data. For the private companies that made it to our list, we estimated their revenues based on the year 2022.
Here is our list for the 20 biggest supermarket chains in the US.
20. Wegmans
Revenue 2022: $12 billion
Wegmans, one of the largest supermarket chains in the world, is a prominent chain among American supermarket giants, boasting over 100 stores and an extensive inventory exceeding 70,000 products, a remarkable contrast to the typical grocery store’s offering of around 33,055 items. Their commitment extends to organic products, with an impressive selection of over 4,000 organic items. Beyond merchandise, Wegmans invests generously in people through a scholarship program, allocating $5 million annually. Remarkably, they initiated this practice in 1984, far ahead of the recent surge in tuition benefit offerings by other retailers. Their benevolence has reached a staggering $115 million, supporting over 36,500 employees pursuing higher education.
19. Hy Vee
Revenue 2022: $12 billion
Hy-Vee Supermarket provides a diverse selection of groceries, encompassing fresh produce, premium meats, and unique specialty items. Their emphasis on top-notch quality and exceptional customer service is evident through in-house butchers and well-informed staff. Hy-Vee enjoys a 25% approval rate among those familiar with the brand, representing 7% of U.S. grocery shoppers. Its presence spans 246 locations across eight states: Iowa, Illinois, Missouri, Kansas, Nebraska, South Dakota, Minnesota, and Wisconsin.
18. Trader Joe’s
Estimated Revenue 2022: $13.3 billion
Trader Joe’s, founded in 1967 by Joe Coulombe in California, is one of the biggest supermarket chains in the US. Customers visit Joe about 13 times a year, spending approximately $41.69 per trip. Trader Joe’s has 530 stores in 43 states, surpassing Whole Foods’ worldwide count. It expanded from SoCal to other regions, with a focus on pre-made foods and specific brands. Shoppers allocate 2.4% of their spending to Trader Joe’s, compared to 8% on Amazon.
17. Harvest Market
Estimated Revenue 2022: $14.26 billion
Harvest Market, a cherished grocery chain in Katy, The Woodlands, Sienna, and Woodforest, is known for its fresh produce, quality meats, and health-conscious options at competitive prices. It actively supports local farmers and businesses through community events.
Their innovative “Grocerant” concept allows customers to handpick items using the “Harvestrolley” for a hassle-free shopping experience.
16. Meijer
Estimated Revenue 2022: $19.6 billion
Established in 1934 as a supermarket chain, Meijer has grown into a popular retail giant offering a wide range of products, from groceries to electronics, known for its quality and affordability. With 246 locations across six states, Meijer is classified as a “hypermarket” and was an early adopter of innovations like shopping carts and digital payment methods. They also offer a weekly special where buying ten select $1 items gets you the 11th for free. With 70,000 employees, Meijer has also notably improved its LGBTQ+ inclusivity, earning a high rating on the Human Rights Campaign’s Corporate Equality Index after addressing past criticisms.
15. C.S. Wholesale Grocers
Estimated Revenue 2022: $30 billion
In the dynamic world of wholesale grocery, C.S. Wholesale Grocers thrives by adapting to changing consumer preferences. C.S. Wholesale Grocers attracts and retains customers by offering competitive prices and various products. Based in Keene, NH, they manage an impressive inventory of over 140,000 unique items, delivered through 50 high-tech facilities to around 6,500 corporate clients across various U.S. regions, including the Northeast, Southeast, California, and Hawaii.
14. Dollar General Corporation (NYSE:DG)
Revenue 2022: $37.8 billion
Dollar General Corporation (NYSE:DG), one of the biggest supermarket chains in the US, operates an extensive network of over 17,000 stores nationwide, earning its place as a leading discount retailer. In addition to popular national brands, it offers cost-effective private-label products, providing customers with diverse choices. The company’s significant workforce of over 140,000 individuals supports its operations in stores, distribution centres, and corporate offices. In the financial realm, Dollar General Corporation (NYSE:DG) recorded a robust annual net income of $2.39 billion in 2022, underlining its enduring success.
13. H.E.B.
Revenue 2022: $38.9 billion
H-E-B, one of the largest grocery chains in the world, gained recognition for its business prowess, notably in Forbes in 2014. Born in Texas, it’s a beloved choice for Texans and has ventured across the border with stores in Mexico since 1997. H-E-B Grocery offers online shopping for 50,000 non-perishable items in the digital age. What sets them apart is their commitment to their employees; in November 2015, they announced a plan to grant stock to 55,000 employees, potentially allowing them to own up to 15 per cent of the company, which underscores H-E-B’s identity not just as a supermarket chain but as a people-focused enterprise with a shared vision.
12. Publix
Estimated Revenue 2022: $54.5 billion
Publix, a prominent presence in the Southeastern United States with over 1,300 locations, is renowned for its wide-ranging grocery offerings, including fresh produce, meats, dairy, and household items. Their dedication to convenience sets them apart, with efficient online ordering and delivery options. With a strong reputation for reliability, Publix is a preferred choice for many. In the fiscal year ending December 31, 2022, Publix Super Markets reported net earnings of approximately $2.92 billion, down from the previous year’s earnings of about $4.4 billion. Their 2022 revenue reached an impressive $54.5 billion.
11. Albertsons Companies, Inc. (NYSE:ACI)
Revenue 2022: $78 billion
Albertsons Companies, Inc. (NYSE:ACI), one of the biggest supermarket chains in the US, offers diverse products, from fresh produce to pantry essentials, and is known for its quality and customer service. They shine with locally sourced fresh produce, meats, seafood, and more. Ensuring a safe shopping environment with stringent cleaning and COVID-19 measures, Albertsons Companies, Inc. (NYSE:ACI) operates over 2,200 stores in 33 states and provides various services like pharmacies and online shopping. In 2022, their net income soared to $1.62 billion, a 90.5% increase from the previous year, with a revenue of $78 billion.
10. Sam’s Club
Estimated Revenue 2022: $71.1 billion
Sam’s Club, a U.S. retail giant, is one of the nation’s largest supermarket chains, offering an extensive range of products from fresh produce to electronics and home goods. Its widespread presence nationwide provides competitive prices and an unmatched selection. Owned by Walmart, Sam’s Club boasts around 600 locations.
9. 7-Eleven
Revenue 2022: $87.6 billion
7 Eleven, a renowned supermarket chain celebrated for its convenience and diverse product offerings, operates thousands of stores nationwide, with many open 24/7. It surprises customers with fresh, wholesome food options and features a rewarding 7Rewards program. In 2022, the company had an overall revenue of $87.6 and it achieved record-breaking retail sales of $30.15 billion in the United States, with a network of 12,645 convenience stores.
8. Target Corporation (NYSE:TGT)
Revenue 2022: $106 billion
Target Corporation (NYSE:TGT), one of the largest supermarket chains in the US, offers exceptional value to shoppers. It stands out with convenient online shopping, featuring user-friendly ordering and speedy same-day pickup and delivery services. Safety is a top priority, evident in stringent cleaning and distancing measures.
With nearly 2000 stores worldwide, Target Corporation (NYSE:TGT) reported a remarkable 59.02% increase in annual net income to $6.946 billion in 2022, despite setbacks in its Canadian expansion, which resulted in $2.1 billion in losses.
7. Aldi
Estimated Revenue 2022: $121 billion
Aldi, a beloved supermarket giant in the U.S.A., has garnered fame for its unbeatable combination of top-notch quality and wallet-friendly prices. It’s the ultimate haven for savvy shoppers searching for affordable groceries and essential household items. With a presence in nearly every state, Aldi offers a convenient solution for those seeking savings without compromising excellence. Aldi’s shelves are stocked with all the necessities to nourish your family and equip your home, from fresh produce, meats, and dairy to pantry staples. Remarkably, this powerhouse, with well over 2,000 stores nationwide, traces its roots to Essen, Germany, and its name is a contraction of “Albrecht Discount.”
6. Walgreens Boot Alliance, Inc. (NASDAQ:WBA)
Revenue 2022: $132.18 billion
Walgreens Boots Alliance, Inc. (NASDAQ:WBA), a global healthcare leader with about 13,000 stores across the U.S., offers a wide array of health and wellness products, including prescriptions, O.T.C. medicines, vitamins, and more. They go beyond retail with clinics and digital health services like telemedicine and health coaching. Committed to universal healthcare access, they partner with organizations and governments globally. Sustainability and social responsibility are also paramount, with initiatives to reduce environmental impact, promote diversity, and support communities. In 2022, they reported a substantial annual net income of $4.337 billion, a 70.61% increase from 2021.
Click to see and continue reading the 5 Biggest Supermarket Chains In The US.
Suggested Articles:
- 25 Most Innovative Companies Of All Time.
- The 15 Biggest Supermarket Chains In the World.
- 12 Best Grocery Stocks To Buy.
Disclosure. None: The 20 Biggest Supermarket Chains In The US is originally published on Insider monkey.
