Warmer weather and promotional activity support grocery market growth in NI
The warm June weather encouraged consumers out and about, resulting in a 1.8% increase in grocery spend compared to last year.
In the year to 15th June, £4.4 billion was spent in the Northern Ireland grocery sector, and while shoppers made 2.1% fewer trips to stores, they bought more items per visit, subsequently adding £66.8 million to overall market growth.
The latest figures from Kantar also show that grocery inflation now stands at 2.79%, up from 2.55% last month.
The arrival of warmer weather encouraged shoppers to indulge in seasonal favourites, resulting in an additional £17 million spent on antipasti, suncare, wine, bottled water, squash and frozen treats.
Spending on branded goods rose by £42.4 million, a 1.8% year-on-year increase, pushing branded value share to 54.9%. Own-label products also performed well, growing by 1.7% with an additional £30.9 million spent. These products now represent 43.2% of the market by value.
“To make the most of their budgets, many consumers turned to a mix of own-label and promotional offers,” said Emer Healy, Business Development Director at Kantar.
“Promotions remain a key part of the market, accounting for 22.7% of value sales, with nearly £1 billion spent on discounted items.”
Looking at supermarket share, Tesco retains the largest market share at 37%, up 7% from last year. This growth was driven by both new customer acquisition and increased purchasing from existing shoppers alongside larger trips, contributing £46 million to its overall performance.
Sainsbury’s holds a 16.7% market share, up 0.4% year-on-year. A rise in shopper numbers and basket size helped boost its performance by £68.5 million.
Meanwhile Asda, with a 15.9% share, also grew by 0.4%, benefiting from increased store visits which added £3.1 million in sales. Lidl’s market share rose to 9.2%, an increase of 2.7%, as the retailer attracted new customers and existing ones shopped more frequently. This resulted in a combined uplift of £12.9 million.
