Retail data: Asda sales increase while Morrisons tops big four in growth

Supermarket Asda increased year-on-year sales for the first time since October 2014, according to industry figures, while Morrisons has become the fastest growing big four retailer.
ASDA supermarket.ASDA supermarket.
ASDA supermarket.

Data from Kantar Worldpanel for the 12 weeks ending April 23, 2017, showed that the overall grocery market has grown by 3.7 per cent - the fastest rate since September 2013 and worth almost £1bn in additional sales to the grocery sector.

All ten major retailers are in growth for the first time in three and a half years, when like-for-like grocery inflation was as high as it is now.

Hide Ad
Hide Ad

Bradford-based Morrisons become the fastest growing big four retailer. However, this growth is behind the overall market and Morrisons’ total market share slipped 0.2 percentage points to 10.4 per cent.

Leeds-based Asda increased year-on-year sales for the first time since October 2014 thanks to a quarter of a million additional shoppers and a strong performance online. Although its overall share fell by 0.4 percentage points to 15.6 per cent.

Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel, said: “Premium own label lines are continuing to see huge growth and Morrisons has been making the most of their popularity among consumers.

“Its ‘The Best’ line is performing well following last year’s launch and has attracted more affluent shoppers through its doors, helping Morrisons become the fastest growing big four retailer.”

Hide Ad
Hide Ad

Sainsbury’s sales rise of 1.7 per cent is the greatest it has seen since June 2014, with growth coming from all three channels – its Local convenience stores, larger supermarkets and online.

Although stronger growth among its rivals meant market share fell to 16.1 per cent in the past 12 weeks.

While Tesco returned to growth with sales up 1.9 per cent after sales were hit last period by a late Easter. Market share fell by 0.5 percentage points to 27.5 per cent.

Ocado doubled its share since late 2014 and now accounts for 1.3 per cent of supermarket sales.

Hide Ad
Hide Ad

Mr McKevitt said: “The retailer is growing at 10.8 per cent – second only to Aldi and Lidl and considerably ahead of the overall online grocery market, which currently has a growth rate of 7.8 per cent.

“While fewer than 3 per cent of British households have shopped with Ocado in the past 12 weeks these consumers are considerably more affluent than average, meaning the retailer performs well in high-value categories such as fresh fish, chilled drinks and breakfast cereals.”

Iceland, Aldi and Lidl, where sales rose by 9.3 per cent, 18.3 per cent and 17.8 per cent respectively, all grew ahead of the market. Aldi and Lidl achieved new record high market shares of 6.9 per cent and 5 per cent, while Waitrose’s share was stable at 5.2 per cent despite a 3.1 per cent increase in sales. At Co-op sales rose by 2.6 per cent while market share fell by 0.1 percentage points to 6.1 per cent.

Grocery inflation now stands at +2.6 per cent for the 12 week period ending April 23, 2017.  Prices have been rising since the 12 weeks to January 1, 2017, following a period of grocery price deflation which ran for 30 consecutive periods from September 2014 to December 2016