By James Davey
LONDON (Reuters) – Warm weather and household buying ahead of summer holidays accelerated sales growth at UK supermarkets in August, although No. 3 player Asda continued to struggle, industry data showed on Wednesday.
Market researcher NIQ said sales at UK supermarkets grew 5.5% year-on-year over the four weeks to Aug. 10, against growth of 3.6% in last month’s report.
It said the data, the most up-to-date snapshot of UK consumer behaviour since the July 4 national election, showed the largest jump in sales so far this year, and was aided by a short heatwave. Ice cream sales soared 38%, mineral water sales jumped 32% and soft drink sales were up 14.3%.
Suncare sales jumped 49% and sales of hayfever remedies were up 42% as consumers spent more time outdoors and made purchases ahead of summer vacations.
Echoing data from rival market researcher Kantar last week, NIQ said online grocer Ocado enjoyed the fastest growth over the 12 weeks to Aug. 10 with sales up 14.3%, followed by Marks & Spencer with sales increasing 10.7%.
Market leader Tesco, No. 2 Sainsburys, discounter Lidl and Waitrose also gained market share.
Don't miss out on any breaking news or insightful opinions!
Subscribe to our free newsletter and stay updated on the go!
By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email.
But Asda was the laggard. Its sales fell 6.4% and it lost 1.3 percentage points of market share over the year.
Earlier this month, Asda reported a 5.3% fall in second quarter sales and its chairman, veteran retailer Stuart Rose, told the Telegraph newspaper he was “embarrassed” by the group’s performance.
NIQ said last month that food price inflation was running at 2.3%, higher than Kantar’s latest reading of 1.8%.
It said the online channel’s share of grocery spend over the four-week period was 12.8%, up from 12.5% this time last year.
(Reporting by James Davey; Editing by Bernadette Baum)
Uma Rajagopal has been managing the posting of content for multiple platforms since 2021, including Global Banking & Finance Review, Asset Digest, Biz Dispatch, Blockchain Tribune, Business Express, Brands Journal, Companies Digest, Economy Standard, Entrepreneur Tribune, Finance Digest, Fintech Herald, Global Islamic Finance Magazine, International Releases, Online World News, Luxury Adviser, Palmbay Herald, Startup Observer, Technology Dispatch, Trading Herald, and Wealth Tribune. Her role ensures that content is published accurately and efficiently across these diverse publications.
