Retailers cash in as grocery market sales jump by 3.5%

Dunnes Stores has posted the strongest growth this quarter

Retailers cash in as grocery market sales jump by 3.5%

File photo of a man holding a basket in a supermarket | Image: Julien Behal / PA Wire/Press Association Images

New supermarket share figures show big growth for the grocery market, with sales increasing by 3.5% compared with last year.

The statistics from Kantar Worldpanel in Ireland are for the 12 weeks ending August 14th.

Dunnes Stores has posted the strongest growth this quarter, with sales 5.8% ahead of last year.

The retailer now has 21.2% of the market, up from 20.7% this time last year.

While Kantar says the outlook remains good for Dunnes, growth has slipped back recently.

SuperValu continues to post positive results with sales growth of 3.2%, maintaining its position as the number one grocery retailer for the 11th consecutive month.

It also saw boosted footfall, with an additional 15,000 households shopping with the retailer in the past 12 weeks.

Meanwhile Tesco remains in second place, although its market share has dipped to 21.8%.

Source: Kantar Worldpanel in Ireland

A new record high

David Berry, director at Kantar Worldpanel, explains: "Over recent months the price of groceries has increased slightly, with an average basket now costing 2.7% more than this time last year.

"Areas where we have seen the most significant increases include vegetables, fruit and beer - all major categories for the retailers."

While Lidl's market share has reached 11.9% - a new record high for the retailer, beating its previous best of 11.8% from August 2015.

Kantar says Lidl is reaping the rewards of recruiting 34,000 new shoppers during the past 12 weeks.

And Aldi's share of the market has increased by just 0.1 percentage points to 11.3% - alongside an improvement in sales growth.

The retailer has recovered since March this year, when it saw sales growth dip below 1.0% - with a 4.4% increase in the past 12 weeks.