Supermarket Shares and Price Inflation Update
- Lidl hits record market share of 8.1% in UK
- Asda’s share drops from 13.9% to 13.1%
- Ocado is the fastest-growing grocer with a 12.4% increase
- Tesco’s market share up by 0.5 percentage points at 27.6%
- Sainsbury’s sales also rise
- Grocery price inflation falls to 2.4%, lowest since October 2021
- Inflation rate impacts consumer behavior
Lidl has achieved a new UK record market share of 8.1%, according to Kantar data for the 12-week period ending May 12th. Lidl’s sales rose by 9.4% year-on-year, driven by its bakery options and loyalty scheme, Lidl Plus. Asda’s share fell from 13.9% to 13.1%, while Ocado experienced the fastest growth at 12.4%. Tesco increased its market share by 0.5 percentage points to 27.6%, with sales up 5.6%. Sainsbury’s also saw a rise. Grocery price inflation dropped for the 15th consecutive month, reaching its lowest level since October 2021 at 2.4%. Fraser McKevitt, Kantar head of retail and consumer insight, noted that inflation rates can influence consumer behavior.
Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about Lidl’s market share growth, Asda’s decline, Tesco and Sainsbury’s sales increase, and grocery price inflation data from Kantar. It also includes relevant details about Lidl Plus and Ocado’s performance. The only potential issue is the mention of JD Sports at the end, which seems unrelated to the main topic.
Noise Level: 3
Noise Justification: The article provides relevant information about market share changes and sales growth for different supermarkets in the UK, as well as grocery price inflation trends. It also mentions a key factor influencing consumer behavior during the cost-of-living crisis. However, it could benefit from more analysis or context on the implications of these changes and how they may affect consumers and the industry long-term.
Financial Relevance: Yes
Financial Markets Impacted: Lidl, Asda, Tesco, Sainsbury’s and Ocado
Financial Rating Justification: The article discusses market share changes in UK supermarkets, sales growth/decline of different companies, and grocery price inflation which can impact consumer behavior and company performance.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: No extreme event is mentioned in the text.
www.retailgazette.co.uk