4|Retail News|May 2020|www.retailnews.ie
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Grocery growth slows slightly as shoppers adapt to new normal while Aldi grew by 15.6% to hold an THE latest figures from Kantar show 11.8% share. take-home grocery sales in Ireland In the shorter term, SuperValu’s increased by 17.2% in the 12 weeks large store estate saw it benefit from to April 19, as shoppers adjusted to shoppers choosing to visit outlets life under lockdown. While grocery closer to home, and it was the only sales are strong, retailers will retailer not to experience reduced have felt the effects of social footfall during the past four weeks as distancing restrictions on food-to-go it took the number one position in the purchasing and other non-grocery market. A statement from SuperValu categories. said: “This is testament to the “It’s been a challenging few weeks remarkable effort and dedication of our and we’ve all been grateful for how hard independent retailers and their staff, as the grocery retailers have been working well as the implementation of protective to keep us fed and watered,” said David measures such as plexiglass at tills and Berry, Managing Director - Ireland at increased contactless payment limits for Kantar. “In the absence of dinners with staff and customers at a very early stage friends and lunch on the go, many more during the Covid-19 crisis. Additionally, meals are being eaten in the home and our robust supply chain ensured that grocery sales have risen accordingly. shelves remain fully stocked from the But social distancing means people are outset of the crisis. These measures less likely to be buying categories like mean that shoppers can always buy clothes, food on the go, and general groceries without making multiple merchandise, which means, for some trips.” retailers, the overall picture will be more Demand for online grocery has scratch on the rise. “People are turning modest.” to cooking from scratch as a good soared as people try to limit their contact In the most recent four weeks, way to keep their families entertained with others and 10% of Irish households year-on-year grocery growth slowed at home. Sales of ready meals are in received an online grocery delivery in the slightly from March levels to 22.5% and, decline but 50% of Irish households past four weeks compared with 6% last as people followed Government advice bought baking supplies in the past four year. “An additional €20.6m was spent to stay at home, the average household weeks, with flour up 52% and sugar up online this month and it’s heartening visited the grocers 19 times, two times 43%. Those shoppers trying to recreate that the number of retired people getting fewer than the same period last year. their favourite takeaway dishes have groceries delivered has doubled in the “In an effort to get everything they also boosted sales of ethnic ingredients past 12 weeks, indicating the take up of need in one go and cater for all the by 41% and herbs and spices by 61%,” additional meals and snacks eaten at delivery slots among more vulnerable Berry noted. home, shoppers are adding an extra groups,” said Berry. “There are signs that people are four items to their baskets each visit, Consumers are looking for ways to trying not to let the lockdown dampen increasing their monthly grocery bill by pass the time during lockdown, with their spirits. While beer gardens and €118 on average,” Berry revealed. “The home baking and cooking meals from change in shopper behaviour adds up MARKET SHARE - TOTAL GROCERY to an extra €440m spent on grocery in Includes expenditure across Food, Beverages, Alcohol, Household and Health & Beauty categories the past 12 weeks, but this additional spend is impacting individual retailers Total Take Home Grocery - Ireland Consumer Spend in different ways. Before lockdown, 12 Weeks to 24/04/19 12 Weeks to 19/04/20 % Change in value sales Dunnes customers already spent %* %* % 80% more than the average shopper each visit at €43.80, which means the Total Outlets 100.0% 100.0% 17.2% retailer has experienced less of a jump Total Multiples 88.8% 89.3% 17.8% in spend per trip than those grocers Dunnes 22.2% 21.7% 14.4% starting from a lower base. Dunnes Tesco 21.8% 21.7% 16.7% is growing slightly behind the rest of the market as a result, but these are SuperValu 21.4% 22.2% 21.3% extremely narrow margins and only 0.5 Aldi 11.9% 11.8% 15.6% percentage points separates the three Lidl 11.5% 12.0% 22.1% retailers at the top of the table.” Other Outlets** 11.2% 10.7% 12.6% Lidl was the fastest growing of all the retailers during the full 12-week * = Percentage Share of Total Grocers period, boosting sales by 22.1% and ** = Includes stores such as M&S, Boots, Spar, Centra, Greengrocers, Butchers and Cross Border shops Source: Worldpanel FMCG increasing its market share to 12%,
