Tesco Outperforms Rest Of 'Big Four' In UK: Kantar Worldpanel

Andrew Cummings
September 19, 2017

"Disappointing August weather? even allowing for the mini heatwave over the bank holiday? meant a hard month for traditional summer categories", Kantar's Fraser McKevitt said, noting that sales of prepared salad fell by 6%, while both scotch eggs and sun care products were down 16%.

Supermarket sales have risen for the sixth consecutive month as food price inflation continues to increase the average British family's shopping bill.

In contrast, consumers spent nearly £4 million on cold treatments in August, an increase of nearly £2m on the same month previous year.

At the top end of the scale, Tesco's market share has fallen to 27.8% in the latest 12 weeks, from 28.1% a year earlier, despite experiencing sales growth of 2.7%, Kantar data shows.

"A 1.5 per cent increase in the volume of goods going through the tills has contributed to this growth while the remainder of the overall sales increase is down to higher prices".

Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel, said that grocery inflation was running at 3.2 per cent after the fall in the pound since Britain voted to leave the European Union.

Aldi and Lidl now account for £1 in every £8 spent in the United Kingdom, with two-thirds of British shoppers visiting the discounters over the last three months. WMT, -0.47% saw its market share decline to 15.4%, from 15.7% for the comparable 12 weeks, with sales 1.5% higher at GBP3.96 billion.

German discounter Lidl achieved the most rapid growth - with a record market share of 5.3% plus an impressive sales increase of 19.2%.

Sainsbury PLC's (SBRY.LN) market share in the 12 weeks ended September 10 fell to 15.7%, from 15.9%, while sales have increased 2.1% to GBP4.04 billion, Kantar reports. Volume sales rose and premium own label growth was up 38% year-on-year, by far the best performance in the market.

While the discounters experienced a good period, 98% of households shopped in at least one of the big four retailers over the three-month period.

The market share of up-market retailer Waitrose, a division of John Lewis PLC, was unchanged at 5.3% in the 12 weeks ended September 10, while sales climbed 2.4% to GBP1.35 billion, Kantar reports. "Only 35% of consumer spend is now on promoted items; this time a year ago the figure stood at 41%, which remains the average for the rest of the big four".

A mostly dismal August meant United Kingdom shoppers spent more money on cold treatments than traditional summer categories, according to Kantar Worldpanel in its latest grocery market data released on Tuesday. Their combined market share of the pair rose to 12.2% from 10.8%.

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