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Retail Intelligence

Grocery Sales Increase As Market Deflation Continues

By Publications Checkout
Grocery Sales Increase As Market Deflation Continues

Irish grocery sales grew by 2.3% in the past 12 weeks, according to the latest figures from consumer research group Kantar Worldpanel Ireland.

However, the figures for the 12 weeks ending 23 April 2017 show that deflation is limiting this growth in the grocery market, as supermarket prices continue to fall.

“In recent years we have seen a definite shift away from promotional deals towards more consistent, lower prices on everyday items," said David Berry, director at Kantar Worldpanel.

"Just over a quarter of all goods are now bought on promotion – down from 33% in 2014. With the rate of deflation in the grocery market falling even further, we expect to see this trend stick around.”

Easter growth

Traditional Easter treats experienced a growth during this period, with sales of hot cross buns rising by 24%, Easter eggs by 9%, and fresh lamb by 10%.


“Capitalising on the indulgence of Easter, retailers have added more premium options in an attempt to convince customers to put something a little more expensive into their baskets," said Berry.

"Fancier options saw the average price of Easter eggs rise 8 cents to €3.05. With three quarters of the population treating themselves to at least one, this meant a €3 million boost to the market.”

Top supermarkets

SuperValu retained its position as the largest supermarket for the second period in a row, gaining 22.8% of grocery sales. The retailer also had an additional 8,000 customers visiting the supermarket during the past 12 weeks compared to the same period in 2016.

Tesco maintained its second place position, but saw a decrease in sales of 0.6%, while Dunnes Stores experienced the strongest growth, with sales increasing by 5.1% compared to the same period last year.

The German discount supermarkets also performed well, with sales at Lidl increasing by 2.4%, and Aldi by 3%.

© 2017 - Checkout Magazine by Sarah Harford

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