Meanwhile, Nielsen’s data for the four weeks to September 10 showed that the value of sales was up 0.4 per cent compared to the same period a year ago, and sales volumes increased 0.3 per cent. Alcohol sales across the industry rose by 8.5 percent, with sales of sparkling wines up 36 percent, Kantar said.
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“Tesco’s summer “Drinks Festival” helped grow its alcohol sales faster than any other major category, and while the retailer’s sales have not yet returned to growth, a decline of 0.2% year-on-year is its best performance since March 2014″.
Despite continued deflation of 1.1%, total supermarket sales increased by 0.3%, helped by shoppers snapping up fizz for Britain’s Olympic celebrations.
“Not only are both continuing to expand their store estates but existing customers are visiting more frequently and upping their basket size”, said Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel.
McKevitt continues: “Waitrose sales increased by 3.4% on a year ago, helping the retailer reach a new record market share of 5.3%”.
Tesco remains that UK’s most popular supermarket, with a market share of 28.1%.
Sainsbury’s sales fell by 1.4 per cent and its share of the sector dipped to 15.9 per cent from 16.2 per cent a year earlier as it slashed promotions in favour of promoting lower prices on a range of everyday products.
However Kantar said Morrisons turnaround strategy is now paying dividends, with the retailer having recently reported a third consecutive quarter of like-for-like sales growth.
In spite of the resurgent performance from the market leaders, discounters Aldi and Lidl continued to steal market share, according to Kantar.
Discount retailers Lidl and Aldi recorded the largest increase in sales yet again, with the former recording a 9.5% year-on-year gain, which brought its market share to a record high 4.6%, while sales at the latter grew 11.6%.
“There’s a lot of market share to play for in the £40 billion sales opportunity up to the end of the year”.
Mike Watkins, Nielsen’s United Kingdom head of retailer and business insight, said: “With both value and volume growth most weeks since the middle of July we’re seeing the green shoots of recovery for the leading supermarkets in their battle against the discounters and price deflation”.
The discounters are helping drive the industry-wide growth in premium own-label lines, with marketing campaigns moving away from showcasing only price to a focus on quality – collectively, premium own label grew by 29.5% in the discounters this period.
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The Co-op also posted strong alcohol sales, helping boost its market share to 6.6%.
