Achieving the largest market share since 2017, Tesco continues to solidify its lead, showcasing robust performance amidst the competition.
- Tesco’s market share has climbed to 28%, reflecting a strategic surge in profits and sales.
- Sainsbury’s experiences a modest rise, whereas Asda faces a decline in market position.
- Ocado maintains its trajectory as the fastest-growing grocer, marking its eighth consecutive month of sales growth.
- Grocery price inflation witnesses a slight uptick, though some product categories experience cost reductions.
Tesco has reached a significant milestone, achieving its largest market share since 2017 at 28%, up from 27.4% the previous year, according to Kantar’s latest data. This achievement follows Tesco’s recent profit and sales reports, which indicated a 10% rise in half-year profits alongside a 4% increase in sales.
Sainsbury’s, another key player, has seen its sales increase by 5.1%, resulting in a slight market share increase of 0.4 percentage points, bringing it to 15.2% in the 12 weeks ending September 29. Despite these gains, Asda’s market share continues to decline, now down to 12.6% from 13.7% during the equivalent period last year.
Meanwhile, Ocado has maintained its status as the fastest-growing online supermarket, achieving this title for the eighth month in a row. Ocado’s sales have surged by 10% over the last quarter, edging its market share slightly up by 0.1 percentage points to 1.8%.
Grocery price inflation has risen to 2% during the four weeks leading up to September 29, up from 1.7% in the previous month. However, according to Fraser McKevitt, head of retail and consumer insight at Kantar, prices in certain categories are falling. He highlights that the average costs of essentials such as toilet and kitchen rolls have decreased by 6% year-on-year, with dog and cat food prices falling by 4% and 3% respectively.
In the context of seasonal consumer behavior, Halloween has sparked increased demand, with sales of pumpkins nearly doubling compared to last September, reaching just under £1 million in the last four weeks. Sugar confectionery has also seen a notable 9% increase, and spending is expected to ramp up further as the Halloween season progresses, with confectionery sales having risen by 16% in the latter half of October last year.
Tesco’s strategic maneuvers have ensured its leading position in market share amidst a dynamic retail landscape.
