Asda’s low price marketing has helped the supermarket become the fastest grower in grocery market share, according to latest figures from TNS Worldpanel.
The supermarket’s market share grew by 8.8% in the 12 weeks to February 22, compared to the same period last year, leading to an all-time record share for Asda in any 12 week period of 17.3%.
Morrisons was the second biggest grower, rising 8.2% to lift its share to 11.6%. Grocery sales overall grew by 6.4%, just below the sector’s price inflation of 8.4%, due to customers trading down to cheaper retailers and cheaper brands within supermarket ranges.
Sainsbury’s growth of 5.7% to 16.3% was slightly below the total for the sector due to self-imposed price deflation as its pricing becomes more aggressive with Switch & Save and the growth of the Basics range, while pressure on Tesco’s market share, which grew by just 5% is continuing, although it is still well ahead of its rivals at 30.3% of the market.
Discounters Aldi, Lidl, and Netto are continuing their recession success with combined share lifting from 5.5% a year ago to 6.0%, while freezer stores such as Iceland and Farm Foods are benefiting from both a low-price reputation and a surge in the frozen food category.
Waitrose grew its share by 2.4% compared to last year to a total 3.9% of market share, down from 4% last year.