The UK grocery is proving defensive in recession, according to the latest TNS Worldpanel grocery market share figures.
TNS reports the grocery market grew by 6.5% in the 12 weeks ending 14 June 2009 and claims there are signs shoppers have adopted a more measured approach to the recession and have started to revert to pre-recession behaviour.
The stellar growth of discounters Aldi and Lidl has tailed off, TNS reports. Both outlets have seen their rate of growth eclipsed by Sainsbury’s and Morrisons in this latest period.
In addition, Waitrose has enjoyed a considerable uplift with annual growth reaching 7%.
Aldi: growth has tailed off
According to Ed Garner, director at TNS Worldpanel, the retailer’s current advertising featuring the launch of the Essentials range is a big contributing factor as well as early conversions of former Somerfield stores.
While Tesco has recently seen its share under pressure it has posted its highest growth of the year with sales up 6.2%.
This is just a fraction behind the total grocery sector growth so Tesco’s market share is virtually unchanged.
Asda, Sainsbury’s and Morrisons have all performed strongly and, having outgrown the market, have increased their market shares.
Somerfield has recorded a decline of -12.7% year-on-year but the figures disguise the fact the Competition Commission required it to divest stores following its acquisition by The Co-operative.
Future market share figures will see the Somerfield share progressively decline as the fascias of the remaining stores convert to The Co-operative livery.