Discount retailers are taking the lead in the grocery market share race, according to the latest TNS Worldpanel grocery figures.
Published on May 29, for the 12 weeks ending 18th May 2008, the TNS figures have thrown the spotlight on discounters. In particular Aldi, which has posted growth of 19 per cent, has lifted its share from 2.5 per cent a year ago to 2.8 per cent. Investing heavily in new stores and increasing levels of advertising has rewarded Aldi with strong growth in the current climate, which has been fuelled by new shoppers visiting the stores, rather than existing shoppers spending more.
Although not equalling Aldi’s performance, Lidl has also seen strong growth, whereas the Danish-owned Netto has not kept up with market growth, resulting in a slight share loss.
To some extent, Iceland operates like a discounter in that it has a similar customer base and runs an aggressive price-cut programme, and has experienced a year-on-year growth of 12 per cent.
With regard to the top four, both Tesco and Sainsbury’s are showing growth slightly behind total grocers and have therefore seen slight share erosion, whereas Asda and Morrisons continue to perform strongly and have improved their shares year on year.
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