Lidl and Aldi Gain Market Share as Consumers Adapt to Higher Prices

  • Grocery price inflation reaches a new peak at 11.6%
  • Lidl remains fastest-growing grocer with 17.9% sales increase and 7% market share
  • Aldi gains 0.9 percentage points, holding 9.1% of the market
  • Asda returns to growth with 0.2% sales rise, 13.9% market share
  • Tesco’s sales up 1%, holding 26.9% of the market
  • Sainsbury’s and Morrisons at 14.8% and 9.3% respectively
  • Waitrose holds 4.6% of the market
  • Ocado sees online sales growth, attracting new shoppers outside its demographic
  • Co-op sales up 0.4%, holding 6.5% of the market
  • Own-label products at record high with 7.3% sales increase and 51.6% market share
  • Average annual grocery shop to increase by £533 or £10.25 per week

Supermarket sales have increased by 2.2% in the latest 12 weeks, according to Kantar data. Grocery price inflation has reached an all-time high of 11.6%, with butter, milk, and poultry seeing significant price jumps. As a result, the average annual grocery shop is expected to rise by £533 or £10.25 per week. Discount retailers Lidl and Aldi have gained 1.8% of British grocery sales, with market shares of 7% and 9.1%, respectively. Asda returned to growth with a 0.2% sales increase, holding 13.9% of the market. Tesco’s sales rose by 1%, maintaining a 26.9% share, while Sainsbury’s and Morrisons hold 14.8% and 9.3%. Own-label products are at an all-time high with a 7.3% sales increase, representing 51.6% of the market.

Factuality Level: 8
Factuality Justification: The article provides accurate information about supermarket sales, growth rates, and market shares of various retailers. It also includes relevant data from Kantar and insights from Fraser McKevitt. The only potential issue is the mention of a £10.25 weekly increase, which might be slightly misleading as it’s not clear if this figure is an average or median value.
Noise Level: 4
Noise Justification: The article provides relevant information about supermarket sales and market shares, as well as insights into consumer behavior in response to inflation. It also highlights the growth of specific retailers and product categories. However, it does not delve too deeply into the reasons behind the inflation or explore potential long-term consequences for consumers or the industry.
Financial Relevance: Yes
Financial Markets Impacted: Supermarket sales, market shares of various supermarkets
Financial Rating Justification: The article discusses the changes in supermarket sales and market shares, which can impact companies’ financial performance and consumer behavior due to inflation.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event mentioned in the article

Reported publicly: www.retailsector.co.uk