Spanish consumers spent a record €105 billion when grocery shopping in 2022, 9.1% more than the previous year, new data has shown.
This increase in spending was mainly due to rampant inflation that hiked the price of all basic everyday goods by 9.9%, the highest increase in 20 years, according to data from the Nielsen IQ consultancy, which was reported by Spanish daily El Pais.
Retailers Gaining Share
Mercadona (27.4%, up 50 basis points), Carrefour (7.6%, up 40 basis points) and Lidl (6.1%, up 20 basis points) gained the most market share during the year, thanks in part to a significant offer of private label products.
The remaining 60% is mainly divided between five other chains and the regional supermarkets integrated in the Ifa and Euromadi groups.
Promotional campaigns, which are a decisive factor for many Spanish customers, fell by half a percentage point last year, with 16.2% of products sold on promotion.
The rising cost of the shopping basket has led to a decline in demand for fresh products, with prices in this segment increasing by 10.3% in 2022.
The most affected category as a result of price increases has been fish and seafood, which saw sales volumes fall by 9.1%, followed by fruit (-5.5%), vegetables (-3%) and meat (-0.9%).
However despite price increases, consumption of bread was up by 6.2%, as were eggs (+2.5%).
The online channel, which made significant gains during the pandemic, declined slightly, accounting for 2.5% of sales, a tenth less than in 2021.
Portugal Retail Sales
In neighbouring Portugal, food retail sales grew by 9.6% in 2022 to €11.8 billion in 2022, according to NielsenIQ Scantrends data reported by Dinheiro Vivo.
Hard discounters, such as Aldi, Lidl or Mercadona, grew the most (+11%), compared to 9.3% growth for hypermarkets and 9.5% for small supermarkets.
Private label brands recorded a sales increase of 18.3%, while manufacturer brands grew by 4.5%.
© 2022 European Supermarket Magazine – your source for the latest Retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: European Supermarket Magazine.