UK: Sainsbury leads pack for market share growth - Kantar
By Michelle Russell | 26 February 2013
 |
The figures reveal the impact of the first five weeks of the horsemeat scandal |
Sainsbury's was the only retailer to increase its market share in the last three months, according to the latest data from Kantar Worldpanel.
The retailer increased its share from 16.9% to 17% in the 12 weeks ended 17 February, beating the market with a 4.6% growth rate, Kantar revealed today (26 Febuary).
Tesco, however, saw its share of the grocery market fall to 29.7% from 30.1%, while Asda's fell from 17.8% to 17.7%. Morrisons was the only major grocer to post a sales decline, with its market share also down, to 11.8% from 12.4% last year.
Upmarket grocer Waitrose and discounter Aldi delivered all-time record market shares for the period of 4.8% and 3.3% respectively, indicating that "market polarisation is continuing", Kantar said.
The figures reveal the impact of the first five weeks of the horsemeat scandal, which broke on 16 January.
Edward Garner, director at Kantar Worldpanel, says the issue has so far only affected the performance of individual markets rather than where consumers are choosing to shop, with frozen burger sales down by 43% in the period. Frozen ready meals declined by 13%.
The total grocery market is growing at an annual rate of 3.7% which lags behind grocery price inflation of 4.3%.
Grocery Market Share UK - First Retailer Share Data Since Horsemeat Contamination Broke
26/02/2013
The latest grocery share figures from Kantar Worldpanel, published today for the 12 weeks ending 17 February, reveal the impact of the first five weeks of the horsemeat scandal, which broke on 16 January.
Edward Garner, director at Kantar Worldpanel, explains: “The issue has so far only affected the performance of individual markets rather than where consumers are choosing to shop. For the four weeks ending 17 February, frozen burger sales were down by 43% and frozen ready meals declined by 13%, clearly demonstrating a change in shopping habits.
“Tesco’s share has come under pressure this period, with a drop from 30.1% a year ago to 29.7% now. It might seem natural to attribute this decline to the horsemeat contamination; however, Tesco undertook heavy promotions this time last year, where consumers received a £5 voucher when they spent £40, and not repeating this offer will have adversely affected its share.”
Within the big four, Sainsbury’s is the only retailer to increase share this period, beating the market with a 4.6% growth rate. Morrisons is the only retailer to post a sales decline.
Edward continues: “Waitrose and Aldi deliver all-time record shares this period of 4.8% and 3.3% respectively indicating that market polarisation and the ‘two nations’ consumer climate continues. Iceland records 10.1% growth confirming that the frozen food category as a whole remains robust.”
The total grocery market is growing at an annual rate of 3.7% which lags behind grocery price inflation of 4.3%. This confirms the continued pressure on shoppers who are using coping strategies to reduce their personal inflation rate.
Original source: Kantar Worldpanel
Sectors: Retail
Companies: Sainsbury’s, Tesco, Asda, Morrisons, Waitrose, Aldi
View next/previous articles
Currently reading -
UK: Sainsbury leads pack for market share growth - Kantar
26 Feb 2013 -
Related research
Asda Stores Limited (Foodservice): Foodservice - Company Profile & SWOT Report
Canadean's "Asda Stores Limited (Foodservice): Foodservice - Company Profile & SWOT Report" contains in depth information and data about the company and its operations. The profile contains a company overview, key facts, major products and services, ...
Sainsbury's and Tesco: Retaining market share during the credit crunch
Sainsbury's initial campaigns promoted brands, own label products, and buying basic ingredients. As the credit crunch continued, Sainsbury's launched Live Well for Less. Tesco emphasized price in 2008 with the Discount Brands scheme, and in 2011 with...
Sainsbury's | Verdict Company Briefing
A one-stop destination for unique data and opinion on Sainsbury's food & grocery, clothing & footwear and electricals offer. We assess performance, strategic direction and provide Verdict's view on its future....
Related articles
Editor's choice: the highlights on just-food last week
After UK organic baby food firm Ella's Kitchen was snapped up by a US buyer a fortnight ago, last week a peer across the pond revealed it agreed to sell to Danone, representing the Aptamil and Cow & Gate owner's move into the category.
Quote, unquote: just-food's week in words
The week ended on a high note for Morrisons last week after it announced a venture to launch into the online channel with Ocado. The deal has again fuelled speculation that the deal could upset Ocado's current arrangement with Waitrose. Other deals this week included the acquisition of US baby food firm Happy Family by Danone. just-food also spoke with founder of Amy's Kitchen, Amy Berliner about its growth plans.
Comment: Pragmatic deal for Morrisons, Waitrose risk for Ocado
A deal with Ocado represents Morrisons best route into the UK online channel as it plays catch-up with rivals. For the online specialist, it looks a good deal, although it could threaten its agreement with another partner, Waitrose.
There are currently no comments on this article
Be the first to comment on this article