Supermarket sales at 10 year low

28 August 2014

basket Supermarkets are still having a topsy turvy time of it, as sales have been hitting a 10-year low.

According to some research by the Kantar Worldpanel (sounds like a support act for Kraftwerk or Can), low inflation in the price of groceries, has seen sales grow by only 0.8% in the last 12 weeks, against figures from a year earlier.

The ongoing price wars and what have you, has driven inflation down to a record low of 0.2%. And guess what?

The main winners in market share again were Aldi and Lidl.

Aldi's market share rose to 4.8% from 3.7% a year earlier, while Lidl's share climbed to 3.6% from 3.1%. And it's not all budget end, as sales at Waitrose were up 3.6% from a year earlier, and its market share edged up to 4.9% from 4.8%.

But it's grim news for Tesco, as its sales were down 4% from last year's period, and the market share dropping from 30.2% to 28.8%

According to Kantar Worldpanel director Edward Garner: "Competitive pricing among the big grocers and deflation in the price of staple items such as vegetables, milk and bread has driven inflation down yet again,"

"This naturally impacts on the overall growth of the grocery market, which has fallen to a 10 year record-low of 0.8%," he added.

TOPICS:   Supermarket

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