Lidl and Ocado have emerged as the fastest-growing retailers according to recent Kantar data, reflecting significant shifts in the retail market.
- Lidl recorded remarkable growth with 326,000 new shoppers, maintaining its top position for the 15th consecutive period.
- Ocado experienced a notable online sales surge of 9.5%, demonstrating the increasing preference for online shopping.
- Market leaders Tesco and Sainsbury’s also showed strong performance, outpacing the overall market growth rate.
- In contrast, Asda and Co-op faced challenges, with declines in sales and market share amid an overall rise in retail activity.
Lidl has once again asserted its dominance as the fastest-growing retailer with a physical presence, attracting 326,000 additional shoppers over the 12 weeks leading up to November 3. Fresh produce sales were particularly strong, increasing by 22%, which underscores Lidl’s appeal in this segment.
Meanwhile, Ocado led the charge in online retail with a 9.5% increase in sales, reinforcing its position as a favored choice for consumers opting for online grocery shopping. This growth highlights a broader trend towards digital shopping platforms.
Tesco and Sainsbury’s have both surpassed average market growth. Tesco’s sales increased by 4.6%, enhancing its market share to 27.9%, a 0.6 percentage point increase from the previous year. Sainsbury’s wasn’t far behind, witnessing a 4.4% rise in sales, pushing its market share to 15.5%. The retailer also noted an uptick in both customer numbers and shopping trips.
Although Morrisons experienced a modest sales increase of 2.4%, this growth outpaced the market average for the first time since June 2021, marking a positive shift for the retailer.
Conversely, Asda and Co-op were on the back foot. Asda’s sales decreased by 5.5%, with its market share dropping to 12.5%, reflecting a challenging period for the retailer. Similarly, Co-op saw a 2.1% decline in sales and a 0.2 percentage point fall in market share to 5.7%.
These changes are occurring as Kantar reports a 2% rise in take-home sales for the four weeks to November 3, totaling £11.6 billion. This increase coincides with a spike in shopping trips, reaching 480 million, a four-year high. According to Fraser McKevitt, head of retail and consumer insight at Kantar, October 2024 was the busiest month for supermarkets since March 2020, driven partly by a gradual rise in shopping trips.
Despite the busy period, grocery price inflation was at 2.3%, slightly up from September but consistently below 3% since the early summer, indicating stable pricing conditions in the face of increased demand.
The data reflects a dynamic retail landscape where Lidl and Ocado are capitalizing on market trends, while Asda and Co-op face significant hurdles.
