Consumers cash in as grocery market competition heats up


The latest supermarket share figures show a year-on-year growth in sales of 1.4% across the Irish grocery market.

The numbers, from Kantar Worldpanel for the 12 weeks ending August 16th, are linking to an upswing in the level of price inflation.

This now stands at 1.3% compared to 0.7% last month - and is the best performance since March this year.

Dunnes posted the strongest sales - with an increase of 8.2% in the past 12 weeks - closely followed by Lidl, who grew sales by 7.7%.

David Berry, director at Kantar Worldpanel, explains: "Dunnes' success is in large part thanks to the continuation of its 'Shop and Save' campaign".

"Although fewer people have shopped with the retailer this period, these customers have been encouraged to spend more, with the average shop now costing €34.50 - an increase of more than €5".

Lidl has maintained its strong performance, boosting its share of the market by more than half a percentage point to 9.1%.

Its sales growth has been driven by an increased number of shoppers returning to the store more frequently, and spending larger amounts on each occasion.

Lidl is the only retailer to drive improvement in all three of these areas in the past quarter.

Tesco retains the number one position in the market with 24.8% share.

Kantar says an increase in customer numbers, with more than 20,000 new shoppers this year, has played a vital part in the supermarket's recovery.

SuperValu keeps second place, though close competition continues as it remains just 0.3 percentage points behind Tesco.

And Aldi has seen sales grow by 3.8%, lifting its share of the market to 8.7%.

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