Supermarket benefits from horse meat scandal

Supermarket chain J Sainsbury has posted a 6.3 per cent increase in sales for the ten weeks to March 16th, suggesting it has benefited from the horse meat scandal that has affected its rivals.
Horse DNA has been discovered in meat products sold by Tesco and Asda, but Sainsbury’s has emerged unscathed from the crisis, something its chief executive Justin King attributes to significant investment in “sourcing credentials”.
“The issues experienced by the industry over the last quarter underscore the importance of our detailed understanding of our supply chain,” he added.
Sainsbury’s said sales at its smaller convenience stores have increased by 18 per cent, with online sales also up by a fifth. This growth in internet grocery shopping gives some indication as to why WM Morrisons is keen to establish an online presence.
The company’s non-food sales have also experienced a sharp rise, totalling more than £1 billion for the first time.
These results represent the final quarter of Sainsbury’s financial year. Its full year results show like-for-like sales excluding fuel have increased by 1.8 per cent.