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(Alliance News) - Take-home grocery sales in the UK increased at the fastest rate since comparable records began in 1994, and consumers are now taking tentative steps out of lockdown with a marginal rise in shop visit numbers, research agency Kantar said Wednesday.
In the 12 weeks to May 17, take-home grocery sales grew by 14% and online sales were 75% higher year-on-year, according to Kantar. Total grocery sales rose 14% to GBP31.41 billion in the period from GBP27.48 billion a year ago.
Fraser McKevitt, head of retail and consumer insight at Kantar, said: "The most recent three-month period now includes both the pre-lockdown rush to the shops in March, and eight weeks of stay-at-home advice from government – a combination which has resulted in the fastest growth in take-home grocery sales for over 25 years.
"While these are bumper figures, it remains true that the overall picture for some grocers will be less positive, as supermarkets continue to feel the impact of a considerable reduction in on-the-go spend on meals, drinks and snacks. Those categories usually add up to GBP1 billion over the course of 12 weeks and they aren't included in these numbers."
Kantar said it has seen consumers taking their "first tentative steps out of the full lockdown" with a rise in the number of people visiting bricks-and-mortar shops in the week leading up to May 17, following the relaxation of some lockdown measures by the UK government on the previous Sunday.
"Shoppers made the most of parks and warm weather to enjoy picnics with their households and socially distanced catch-ups with one other person, helping to boost sales of chilled dips by 22%, crisps by 28% and carbonated soft drinks by 25%, during the course of the four weeks," the research agency said.
In the 12 weeks to May 17, online supermarket Ocado Group PLC saw sales rise by 33% to GBP487 million, with its market share increasing to a new high of 1.6% from 1.3% a year ago.
Co-op's market share rose to 7.0% from 6.1% a year before, as sales grew by 31% to GBP2.20 billion.
"Shoppers staying closer to home and avoiding queues at large supermarkets benefited both Co-op, up by 30.8%, and independent retailers, up by 63.1%," Kantar said.
German discounter Lidl saw a 17% growth in UK grocery sales to GBP1.85 billion, and its market share ticked up to 5.9% from 5.8% in the year prior.
Compatriot Aldi had a 10% sales rise in the 12 weeks to GBP2.42 billion. Its market share slipped to 7.7% from 8.0%.
Among the "Big Four" UK grocers, Tesco PLC saw a 13% sales rise to GBP8.45 billion, but its market share fell to 26.9% from 27.3%.
J Sainsbury PLC also booked a 13% sales jump to GBP4.69 billion. Its market share fell to 15.0% from 15.2%.
Walmart Inc's Asda had a 6.5% annual sales rise to GBP4.44 billion, but its market share slipped to 14.1% from 15.2%.
At Wm Morrison Supermarkets PLC, sales rose 9.8% year-on-year to GBP3.13 billion, with market share down to 10.0% from 10.4%.
Iceland sales rose 29% to GBP748 million with market share up to 2.4% from 2.1%, and at Waitrose, sales climbed 13% to GBP1.56 billion. The John Lewis Partnership's unit's share of the market dipped to 5.0% from 5.1%.
Overall UK grocery price inflation for the 12-week period was 3.1%.
Tesco shares were up 1.6% in London on Wednesday morning. Sainsbury's was 0.9% higher and Morrisons 1.4% higher. Ocado was down 1.7%.
By Tapan Panchal; tapanpanchal@alliancenews.com
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