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Aldi, Lidl Outperform The Wider UK Grocery Sector, As Inflation Eases

By Steve Wynne-Jones
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Aldi, Lidl Outperform The Wider UK Grocery Sector, As Inflation Eases

Aldi and Lidl were the best-performing retailers in the UK in the 12-week period to 11 June, new data from Kantar has shown, with Aldi seeing a 24.6% increase in sales year-on-year, and Lidl's sales up 23.2% in the period.

Aldi's performance cements its position as the UK's fourth-largest supermarket chain, with the discounter holding 10.2% of the market, ahead of fifth-placed Morrisons (8.8%) share.

Lidl holds a share of 7.7%, making it the UK's sixth-largest grocer by market share.

Tesco (27.1%) continues to lead the market, ahead of Sainsbury's (14.9%) and Asda (13.7%).

Grocery Price Inflation

According to Kantar, grocery price inflation sat at 16.5% in the four weeks to 11 June, its lowest level since 2022, which will "be a relief to shoppers and retailers," commented Fraser McKevitt, head of retail and consumer insight at Kantar.


"But prices rising at 16.5% isn’t something to celebrate and it’s still the sixth highest monthly figure in the past 15 years. Price rises are now being compared to the increasing rate of grocery inflation seen last summer, which means that it should continue to fall in the coming months, a welcome result for everyone."

British take-home grocery sales rose by 10.8% over the month in comparison with the same period last year, Kantar noted.

Value Private Label

Many shoppers are switching to value private-label products as they seek to save money on their shopping, with total spend on value ranges rising by 41% compared to the same period last year, Kantar said.

"This has helped the value tier to become the fastest growing part of the market every month since June 2022," said McKevitt.


Read More: 'Massive Shift' Seen In Grocery Shopping Habits In The UK: Report

© 2023 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.

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