Tesco has recorded the fastest growing sales of the UK’s four biggest supermarkets for the second consecutive month, according to the latest retail data released by Nielsen.
In the 12 weeks ending 20 May, Tesco saw an increase sales of 2.2%, which is considerably more than its competition.
Morrisons and Sainsbury’s posted sales increases of 1.4% and 1.2% respectively, while Asda saw a 0.1% decline.
Improvements
Mike Watkins, head of retailer and business insight at Nielsen UK, said, “Tesco’s re-focus on the customer and their changing needs, such as simplifying ranges and promotions, has meant they’ve not only attracted new shoppers but encouraged them to visit more often."
“These incremental improvements are helping reverse the declining spend per visit, which was an ongoing challenge for Tesco last year. The growth is also now being supported by initiatives that revisit some wider consumer trends such as tackling food waste and supporting healthier eating and living.”
Flat Overall Growth
Nielsen reported that Tesco’s strong performance was further highlighted by its most recent four-week period, where sales grew at four times the rate of the other supermarkets.
It said that the flat overall market growth was driven by underlying food price inflation, as the volume of goods sold fell by 2.3%.
Watkins said the growth in sales was attributed to the return of inflation, but stressed that the challenge supermarkets face is sustaining this growth by encouraging shoppers to put more items into the weekly basket.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Aidan O’Sullivan. Click subscribe to sign up to ESM: The European Supermarket Magazine.
