Co-op has returned to market share growth for the first time in a year, as warmer weather and the start of the FIFA Men’s World Cup helped drive a rise in supermarket spending.
According to the latest figures from Worldpanel by Numerator, in the four weeks to 14 June, the convenience retailer increased its market share from 5.2 per cent to 5.3 per cent over the past year.
Co-op sales also rose 2.7 per cent, bouncing back from the cyberattack that affected its performance last year.
Elsewhere, competition among Britain’s largest grocers remained intense. Tesco retained its position as market leader with a 28.0 per cent share of grocery spending, while sales rose 1.2 per cent.
Sainsbury’s continued to outperform the wider market, growing sales by 2.0 per cent and increasing its market share to 15.3 per cent.
Morrisons’ market share was unchanged at 8.4 per cent, with sales up 1.4 per cent. Lidl, meanwhile, continued its rapid advance, attracting more than half a million additional shoppers and increasing its share to 8.7 per cent, extending its lead over Morrisons after recently becoming Britain’s fifth-largest supermarket.
Asda held an 11.5 per cent market share, while Aldi accounted for 10.7 per cent of spending. Waitrose and Iceland also maintained their respective shares at 4.5 per cent and 2.2 per cent, while, beyond the traditional grocers, M&S recorded grocery sales growth of 11.7 per cent.
Ocado remained the fastest-growing supermarket, with sales rising 13.5 per cent over the 12-week period and market share climbing to 2.2 per cent.
The data also showed that for the wider sector, take-home grocery sales increased by 2.4 per cent, while grocery inflation eased slightly to 3.0 per cent.
Weather played a significant role, with Wordpanel saying the UK’s hottest May day on record and a ten-day heatwave prompted a surge in demand for summer staples.
Wordpanel by Numerator head of retail and consumer insight Fraser McKevitt said: ”There’s something very British about the way a heatwave changes the weekly shop, and shoppers didn’t need much encouragement to fire up the grill and turn to al fresco dining this time around.
“Barbecue staples performing well and shoppers turning to healthier options are a common summer trend, and we can expect to see this continue over the rest of June and into July, with the warm weather forecast to continue.”
McKevitt added: “Nearly a third of all grocery spending is now on promotion, and that upward streak shows no sign of breaking. Combined with strong online growth, it points to shoppers who know what they want and are increasingly confident about where and how to find the best deal. In short, retailers are having to compete hard for that summer shop.”
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