European Grocery Retail on the Brink: McKinsey Report Exposes Challenges Ahead A new report from McKinsey & Company paints a stark picture of the European grocery retail landscape in 2026, where margins are shrinking and business models are in a state of flux. As consumers increasingly turn to online shopping and demand for sustainable and convenient products grows, traditional grocery retailers are struggling to keep pace. The report highlights the need for retailers to adapt and innovate in order to stay competitive, but also warns of the risks of disruption and consolidation in the industry. With the European grocery market valued at over €1 trillion, the stakes are high for retailers and investors alike.
The State of Grocery Retail Europe 2026: Margins under pressure, models in motion McKinsey & Company