Marketing and loyalty schemes impact overall rise in supermarket sales

The latest grocery share figures from Kantar Worldpanel for the 12 weeks ending 19 July show supermarket sales edged up marginally by 0.8%, with loyalty schemes and TV ads positively impacting retailers' share.

Kantar: data shows grocery market edged up 0.8%
Kantar: data shows grocery market edged up 0.8%

The overall grocery market has edged up compared with last year, Kantar data shows. 

Waitrose sales rose 3.0%, with Kantar crediting its ‘Pick Your Own Offers’ loyalty initiative for a market share increase to 5.0% - up 0.1 percentage points compared with last year. 

Sales at frozen discount retailer Iceland, which has also ramped up marketing investment this year, increased 3.0%, coinciding with its recent ‘Power of Frozen’ advertising campaign.

Meanwhile,  despite a fall in sales of 0.3%, Sainsbury’s gained a market share of 16.5% nudging Asda - which had held second spot since January - back into third place with a share of 16.4%. 

Lidl and Aldi continued to grow apace at 11.3% and 16.6% respectively, boosting both into new market share highs of 4% and 5.6%.

"The continued slow growth of the overall market can be explained by minimal volume growth and lower like-for-like prices, both as a result of cheaper commodity prices and the fierce competition between supermarkets," said Fraser McKevitt. 

"Comparable groceries are now 1.6% cheaper than a year ago, meaning prices have been falling since September 2014, although they are projected to start rising again by early 2016."

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