THE DOWNTURN ACCENTUATES SHARE MOVES (PLUS AN ACCURATE FIGURE FOR GROCERY PRICE INFLATION)

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24.06.2008 UK

EDWARD GARNER, DIRECTOR OF RESEARCH, TNS WORLDPANEL, comments:

TNS MARKET RESEARCH - ED GARNER

The latest TNS Worldpanel grocery market share figures, published today for the 12 weeks ending 15th June 2008 confirm the trends we saw last time in terms of effects of the downturn. The Grocery market continues to grow strongly (+6% year-on-year) helped by food price inflation and it is now apparent that shoppers’ pursuit of value-for money is affecting the outlet shares in the sector.

Both Aldi and Lidl have delivered very strong year-on-year growths of 21% and 13% respectively and, in the case of Aldi, this results in a record share of 2.9%.  Similarly, Iceland continues its strong run with 12% growth as Frozen Food, with its strong value reputation, enjoys a revival. 

With regard to the Top 4, both Asda and Morrisons continue to enjoy growth ahead of the market and so lift their shares.  Tesco and Sainsbury’s however see their shares slip as their growths of 5% and 4% respectively remain behind the market average.

A word about inflation

Recent media commentary has produced some pretty scary figures for the annual rate of increase of food prices with figures up to 20% being quoted.  Whilst it is true that certain prices have indeed “rocketed” TNS believe that it is more relevant to look at the average household shopping basket, taking account of sales levels and promotions and, as a result, state that price inflation in Grocery stood at 4.6% for the 12 weeks ending April 20th 2008.

This figure is based on 78,000 identical products compared year-on-year and therefore represents the most authoritative figure currently available.

Total Till Roll

Great Britain Consumer Spend

12 Weeks to 17 June 2007 12 Weeks to 15 June 2008 % chg
£000s % ** £000s % **
Total Till Roll 27,453,255  28,256,150 2.9
Total Grocers 19,272,003 100.0% 20,460,948 100.0% 6.2
Total Multiples 17,887,744 92.8% 19,050,222 93.1% 6.5
Tesco 6,080,382 31.6% 6,392,222 31.2% 5.1
Asda 3,198,374 16.6% 3,438,175 16.8% 7.5 
Sainsbury's 3,126,682 16.2% 3,262,042 15.9% 4.3
Morrisons 2,162,141 11.2% 2,337,697 11.4% 8.1
Somerfield 736,923 3.8% 769,119 3.7% 4.1
Kwik Save 27,608 0.1% - 0.0% -100.0
Waitrose 754,776 3.9% 794,343 3.9% 5.2
Iceland 315,059 1.6% 354,107 1.7% 12.4
Netto 128,041 0.7% 130,242 0.6% 1.7 
Lidl 425,370 2.2% 479,644 2.3% 12.8
Aldi 494,563 2.6% 597,011 2.9% 20.7
Farm Foods 91,106 0.5% 103,332 0.5% 13.4
Other Freezer Centres 44,150 0.2% 48,236 0.2% 9.3
Other Multiples 302,569 1.6% 346,051 1.7% 14.4
Total Coops 840,713 4.4% 863,994 4.2% 2.8
Total Independents 543,547 2.8% 546,732 2.7% 0.6 
Total Symbols 190,939 1.0% 195,337 1.0% 2.3 
Other Independents 352,608 1.8% 351,396 1.7% -0.3 

** = Percentage Share of Total Grocers

 

To view or download Edward Garner's commentary and insight into the UK Grocery Market Share please click here

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Note to editor

These findings are based on TNS Worldpanel data for the 12 weeks to 15th June 2008. TNS Worldpanel monitors the household grocery purchasing habits of 25,000 demographically representative households in Great Britain. All data discussed in the above announcement is based on the value of items being bought by these consumers, TNS will only support data that is published in the context we have presented it and our own interpretation of these findings. We cannot be held responsible for any other interpretation of these findings.

For further information, please contact:

Melanie Haberstroh, TNS

Tel: 0208 967 2168

Melanie.haberstroh@tns-global.com

About TNS

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About TNS Worldpanel :

Worldpanel is TNS's continuous consumer panel sector, delivering insight into consumer purchasing and usage habits on a local and global scale.

Our coverage extends to more than 50 countries worldwide with services typically based on continuously monitored samples providing information on purchasing and usage activity. We use data collection technology best matched to the development of the environment that we are measuring, including bar code scanners, Internet, till receipt scanning as well as paper diaries and interviewing.

Worldpanel works closely with a wide range of clients including multi-national and local FMCG brand and private label manufacturers, fresh food suppliers, retailers, market analysts and government organisations.

http://www.tnsglobal.com/worldpanel

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