The UK’s supermarket sector recorded strong growth over the past three month period despite the recent financial turmoil and fears of a slowdown in consumer spending, following one of the wettest summers on record.
The latest figures, revealed on Tuesday by research group TNS, showed that supermarket sales grew at an annual rate of 5 per cent in the 12 weeks ending October 7 – a sharp rise on the 3 per cent growth seen in the mid-May to early August period.
Edward Garner, TNS Worldpanel Director of Research, said: “It shows the grocery sector is putting the financial gloom of recent weeks behind it and returning to historical growth trends.”
Tesco, the UK’s largest supermarket chain, outperformed the market with 6 per cent growth, giving the company its highest ever market share of 31.8 per cent – an increase of 0.4 per cent from the same period last year.
The intense competition between Asda and Sainsbury’s also continued as both retailers upped their market share, although Asda has widened the gap as it grew its share to 16.8 per cent, up from 16.6 per cent last year.
Morrisons continued to under-perform, although it’s new “Fresh Choice for You” focus helped drive sales growth from 2 per cent last month to 3 per cent.
Lidl and Netto, Britain’s smaller but popular grocery outlets enjoyed the strongest growth as they continued to benefit from gap left by Kwik Save’s exit from the market.
Leave a Reply