25th Aug 2015 09:11
LONDON (Alliance News) - J Sainbsury PLC was the only big four UK supermarket to increase sales in the past 12 weeks, according to Kantar Worldpanel's grocery market survey published on Tuesday.
Sainsbury's sales rose 0.1% in the 12 weeks to August 16 to GBP4.063 billion from GBP4.060 billion in the same period a year earlier, as its market share slipped to 16.3% from 16.4%, pushing it back behind Wal-Mart Stores Inc-owned Asda, which it had overtook to become Britain's second-biggest supermarket last month.
Tesco PLC was the second best performer of the big four, with a sales decline of 0.9% to GBP7.05 billion from GBP7.12 billion a year before. Its market share fell to 28.3% from 28.8%.
In third place was Wm Morrison Supermarkets PLC which experienced a sales decline of 1.1% to GBP2.68 billion from GBP2.71 billion, as its market share decreased to 10.8% from 11.0%.
The worst performer of the big four was Asda whose sales fell 2.5% to GBP4.15 billion from GBP4.25 billion, and its market share declined to 16.6% from 17.2%.
Asda's market share in the 12 weeks to July 19 was 16.4%, compared to Sainsbury's 16.5%.
"The retailer?s greater focus on non-food items means its market share is traditionally higher in the summer, and it?s expected that Sainsbury?s will again become the number two retailer towards Christmas,? said Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel.
Meanwhile, German discounters Aldi and Lidl once again demonstrated strong growth as their combined market share grew to 9.7% from 8.4%. Aldi's sales rose 18.0%, while Lidl's sales increased 12.8%.
Waitrose, the upmarket supermarket owned by the John Lewis Partnership, also performed well, with sales rising 3.7% to GBP1.26 billion and its market share improving to 5.1% from 4.9%.
Total grocery sales in the period rose 0.9% year-on-year.
?Industry growth of around or below 1% has now persisted since summer 2014 and has become the new normal. Despite the accelerating British economy like-for-like grocery prices are still falling, with a representative basket of everyday items now 1.7% cheaper than in 2014,? McKevitt said.
UK grocery inflation now stands at negative 1.7% for the period, meaning shoppers are now paying less for a representative basket of groceries than they did in 2014. Kantar said the decline is greater than the 1.6% fall reported last month which means that prices are falling faster than they were previously.
Shares in Sainsbury's were trading up 1.5% at 235.30 pence Tuesday morning, while Tesco shares were trading up 2.2% at 185.10p and Morrisons shares were up 1.3% at 165.90p.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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