With the rapid development of Internet economy and the popularity of various interactive tools, the 020 industry of local living service has witnessed a rapid development. Based on determining the factors influencing the scale of O2O market transaction in local life service,The Grey Correlation Degree Analysis is used to calculate and analyze the influence degree of each factor on the scale of O2O market transaction in local life service in order to provide important reference to the government and the e-commerce company for making scientific and rational decisions.