Aldi and Lidl win UK Christmas battle
Sharecast – Kantar recorded Lidl’s sales growth at 13.8% and Aldi’s at 9.9%, increasing their combined market share to 17%, while Tesco (LON:) sales rose 7.5% and its market share edged up to 27.6%, and Sainsbury ‘s (LON:) sales were up 9.3% year-on-year, pushing up its market share to 15.8% – the highest seen since December 2020.
Asda, Morrisons, Waitrose, and Iceland were said to have not fared so well as the average household spent a whopping £477 in December, an all-time high and an increase of £28 year-on-year.
Total take-home grocery sales rose 7.0%, principally due to inflation, which slowed to 6.7% from 9.1% last month, marking the fastest month-on-month drop on record to hit the lowest level seen since April 2022. Sales measured by volume increased by 2%.
22 December was the most popular shopping day, with consumers spending £803.0m in physical stores, 85% more than the average Friday in 2023, while online’s share of the market held steady at 11.6%, as roughly one in five households got a delivery in for the big day.
“The rate of inflation is coming down at the fastest pace we have ever recorded, but consumers are still facing pretty hefty pressures on their budgets,” said Kantat’s Fraser McKevitt.
“Retailers were clearly working hard during the festive period to offer best value and win over shoppers, and promotions were central to their strategy. Nearly one-third of all spend in the four weeks to Christmas Eve was made on items with some kind of offer, the highest level since December 2020 and £823.0m more than last year.”
Reporting by Iain Gilbert at Sharecast.com
