Lidl continues its remarkable streak as the fastest-growing retailer in physical stores, holding this position for the 15th consecutive period.
- In a recent 12-week period, Lidl attracted 326,000 new customers, outpacing all competitors.
- The retailer observed a significant boost in fresh produce sales, growing by 22%.
- Supermarkets like Tesco and Sainsbury’s also showed strong performance, surpassing the wider market trends.
- Despite overall positive growth in the market, Asda and Co-op faced a decline in sales and market share.
Maintaining its momentum, Lidl has been recognized as the fastest-growing retailer with a physical presence for the past 15 periods, marking this achievement for the second consecutive year. During the 12 weeks ending November 3, the brand successfully attracted 326,000 new shoppers, overtaking its rivals in customer growth. This period saw a notable 22% rise in Lidl’s fresh produce sales, highlighting consumer demand for this category.
While Lidl led in growth, online supermarket Ocado also experienced substantial increases, with sales rising by 9.5%, making it the leader in online sales growth during the same timeframe. Traditional supermarkets like Tesco and Sainsbury’s outperformed the broader market, with Tesco’s sales increasing by 4.6%, boosting its market share to 27.9%, a gain of 0.6 percentage points from the previous year. Sainsbury’s mirrored this trend, with a sales rise of 4.4%, elevating its market presence to 15.5% and witnessing an uptick in both shopper numbers and visits.
Another noteworthy performance was seen from Morrisons, with sales growing by 2.4%, surpassing the market average for the first time since June 2021. However, not all grocers enjoyed such success. Asda and Co-op were notable exceptions, with Asda’s sales dropping by 5.5% and its market share declining by a full percentage point to 12.5%. Co-op followed suit, experiencing a 2.1% reduction in sales and a 0.2 percentage point dip in market share, settling at 5.7%.
The overall sales in the grocery sector showed a promising increase of 2% over the four weeks leading to November 3, reaching a substantial total of £11.6bn, the highest monthly sales recorded this year. This surge coincided with a rise in the number of shopping trips to 480 million, marking the highest frequency in four years. Fraser McKevitt, head of retail and consumer insight at Kantar, commented that October 2024 became the busiest month for supermarkets since the initial national lockdown in March 2020. “Trip numbers have been going up gradually for some time, but this steady march hasn’t reached pre-covid levels of shopping frequency just yet. The average for each household is slightly over four trips per week.”
In terms of pricing, grocery inflation was recorded at 2.3% during this period, an increase from September but remaining within standard levels. Since early summer, the inflation rate has consistently stayed below 3%, suggesting a period of stability despite minor fluctuations.
The retail landscape reveals mixed fortunes, with Lidl at the forefront of growth while some others face declines.
