Ocado has reported a consistent shift of customers from Tesco for the past year.
- The company has seen a diverse range of new customers across ages and income levels.
- Sales have grown by 15.5% in the latest quarter, reaching £658 million.
- Active customer base increased by 10.3%, totaling 1.06 million.
- Ocado has been the fastest growing supermarket for 12 weeks, backed by strategic price cuts.
Ocado has emerged as a significant player in the online supermarket sector, demonstrating a steady capture of customers from various retail competitors, notably Tesco, over a consistent 12-month period. Hannah Gibson, Ocado’s CEO, emphasized the broad spectrum of customers, mentioning gains not only from traditional retailers but also from online competitors. This strategic shift underscores the appeal of Ocado to a diverse customer base in terms of age, income, and geographic distribution.
Sales figures for Ocado in the quarter leading up to September 1st, 2024, have shown remarkable growth, with an increase of 15.5%, amounting to £658 million. Additionally, the active customer base has risen by 10.3% compared to the previous year, reaching 1.06 million. Gibson attributes this success to Ocado’s unique blend of choice and service, coupled with improved value offerings that enhance accessibility to a wider consumer demographic.
In a strategic move to sustain its growth trajectory, Ocado launched its sixth round of price reductions since June 2023. These cuts have been substantial, impacting a variety of products from well-known brands, emerging challenger brands, and the M&S food and drink lineup. The strategic pricing has significantly contributed to Ocado’s position as the fastest growing supermarket over the past 12 weeks, according to recent data by NIQ.
Ocado continues to strengthen its market position by appealing to a diverse and growing customer base.
