Average grocery basket 'down 2.1pc'
PUBLISHED: 12:11 06 May 2015 | UPDATED: 12:11 06 May 2015
Falling commodity prices and the supermarket price war has cost grocers £532 million and saved the average household £20 over the last three months, industry figures have showed.
The latest till roll figures from Kantar Worldpanel for the 12 weeks ending April 26 reveal that thanks to record low grocery deflation a typical basket of everyday items is now 2.1% cheaper than a year ago as staples such as eggs, butter and bread have all fallen in price.
Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel, said: “Lower costs are the result of both falling commodity prices and the ongoing supermarket price war, with all major retailers offering cheaper like-for-like goods.”
The ongoing supermarket price war pushed discounters Aldi and Lidl to new record market shares in the period, while the Big Four supermarket majors all lost market share.
Sainsbury’s fared best among the major chains with sales falling 0.2% and its market share down 0.1% to 16.5% compared to a year ago, with the grocer enjoying a rise in shoppers coming through its doors, the report said.
Among the other majors, Asda posted the heaviest fall in sales in the period with a 2.2% decline, while its market share slipped 0.4% to 16.9%.
Morrisons reported at 1.1% fall in sales, with market share edging down 0.1% to 10.9%.
Tesco saw its sales fall 1%, while its market share slipped 0.4% to 28.4%.
But Aldi saw its market share rise 0.7% to a record 5.4%, as discounters continue to attract customers. Its sales jumped 15.1% over the same period.
In April, according to Kantar figures, Aldi overtook upmarket Waitrose to become the sixth largest grocer in the country.
Today’s Kantar figures also showed that Lidl’s market share lifted 0.3% to a record 3.8%, with sales leaping 10.1%.
But Kantar’s Mr McKevitt said while the growth of both discounters “is the envy of the industry it is slower than in recent months, suggesting the discounter momentum is starting to slow a little”.
The only major supermarket, apart from the discounters to post a rise in the period, was Waitrose, which saw sales lift 1.5% with its market share unchanged at 5.1%.