Supermarkets and Other Grocery (except Convenience) Stores Revenue Benchmarks
The average supermarkets and other grocery (except convenience) stores business in the United States generates $16.2M in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 38,170 supermarkets and other grocery (except convenience) stores businesses in the U.S., employing 2,833,797 workers with an average profit margin of 4.0%. The average employee in this industry earns $32K per year (Bureau of Labor Statistics QCEW 2023).
What Does a Supermarkets and Other Grocery Business Actually Do?
Retail stores selling a broad range of grocery products — produce, meat, dairy, packaged goods, household items. Range from independent single-location stores to national chains (Kroger, Publix, Wegmans).
Who buys: Households doing weekly grocery shopping.
How this is different: Different from convenience stores (smaller footprint, higher margin) and warehouse clubs (Costco, Sam's).
Average Revenue
$16.2M
per year
Profit Margin
4.0%
industry average
Revenue / Employee
$218K
per year
Total Businesses
38,170
in the US
Est. Owner Income
$648K
small business avg
Labor Cost
12.0%
of revenue
Avg Employee Wage
$32K
per year (BLS)
Market Saturation
11.5
firms per 100K people
How Much Do Supermarkets and Other Grocery (except Convenience) Stores Charge?
Grocery stores earn thin margins on huge volume — 1–3% net is typical.
| Service | Typical range |
|---|---|
Fresh produce markup | 40–75% over wholesale |
Meat/seafood markup | 20–40% |
Center-store packaged goods | 15–30% |
Deli/prepared foods | 50–150% |
Overall net margin | 1–3% of revenue |
Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.
Complete supermarkets and other grocery business plan
A 12-section data-backed business plan for a supermarkets and other grocery (except convenience) stores business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.
Cost Structure — Where Every $100 in Revenue Goes
Approximate P&L breakdown for the supermarkets and other grocery (except convenience) stores industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.
| Category | Per $100 revenue | Per typical business | What's in it |
|---|---|---|---|
Cost of goods sold | $63 | $10.2M | Wholesale cost of merchandise purchased for resale. Retail's biggest expense. |
Wages & benefits | $12 | $1.9M | Payroll for all employees at the business (owner comp not included for small owner-operators). |
Rent & facilities | $8 | $1.4M | Rent or mortgage on business location plus utilities tied to the space. |
Marketing & advertising | $4 | $681K | Google/Meta ads, SEO, print, referral fees, event sponsorships. |
Other operating costs | $8 | $1.4M | Utilities, POS fees, shrinkage, insurance, store maintenance. |
Net profit | $4 | $648K | What remains for the owner or shareholders after all business expenses. |
Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.
Average Revenue by Business Size
Industry Dynamics (Census BDS 2023)
New Business Rate
9.03%
openings/year
Closure Rate
7.77%
closings/year
Net Job Growth
+0.14%
annual
Businesses Closed
6,068
in 2023
Firm Count Trend
Should You Start a Supermarkets and Other Grocery Business?
Startup Cost
$250K – $1.5M
Break-Even
16 months
5-Year Survival Rate
52.0%
Related Industries
Frequently Asked Questions
- What does a supermarkets and other grocery (except convenience) stores business do?
- Retail stores selling a broad range of grocery products — produce, meat, dairy, packaged goods, household items. Range from independent single-location stores to national chains (Kroger, Publix, Wegmans). Households doing weekly grocery shopping.
- How much do supermarkets and other grocery (except convenience) stores charge?
- Grocery stores earn thin margins on huge volume — 1–3% net is typical. See the pricing table above for typical rates by service type.
- How much does the average supermarkets and other grocery (except convenience) stores make per year?
- The average supermarkets and other grocery (except convenience) stores business generates $16.2M in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $648K per year at a 4.0% profit margin.
- How many supermarkets and other grocery (except convenience) stores businesses are there in the US?
- There are 38,170 supermarkets and other grocery (except convenience) stores businesses operating in the United States, employing a total of 2,833,797 workers.
- How much does it cost to start a supermarkets and other grocery (except convenience) stores business?
- Startup costs for a supermarkets and other grocery (except convenience) stores business typically range from $250K to $1.5M, with a 5-year survival rate of 52.0%.
- What is the average salary in the supermarkets and other grocery (except convenience) stores industry?
- The average employee in the supermarkets and other grocery (except convenience) stores industry earns $32K per year, according to Bureau of Labor Statistics data (QCEW 2023).
Industry Growth & Survival
The supermarkets and other grocery (except convenience) stores industry is relatively stable — with a net job growth rate of 0.1%. Entry and exit rates are balanced at 9.0% and 7.8% respectively.
Approximately 67% of supermarkets and other grocery (except convenience) stores businesses survive their first 5 years. This is above the national average (~50%), making it a relatively safe industry to enter. In 2023, 6,068 firms in this industry closed permanently.
Employment & Wages
The average employee in the supermarkets and other grocery (except convenience) stores industry earns $32,103/year. This is below the national average of ~$65K — typical for this sector. With 58,356 establishments employing 2,600,578 people, the typical business has about 45 employees.
Industry Trend (2000–2023)
The supermarkets and other grocery (except convenience) stores industry has grown 9% since 2000 (from 60,166 to 65,750 firms).
See full historical statistics →Compare Supermarkets and Other Grocery (except Convenience) Stores revenue with other industries: