Sainsbury’s has the lone laugh among big four


Sainsbury’s turns out to be the only supermarket among the big four to
grow sales ahead of Christmas.  In the same time, two others in the
list, Asda and Tesco, lost a good amount of clients to the
discounters. Sainsbury’s, which has included Mog the Cat in its happy
adverts, posted a 1.2pc increment in sales over the 12 weeks to
December 6, boosting its piece of the pie to 16.7pc.

Sales in Sainsbury’s lifted by 11.6p, or 4.9pc, to 248.5p on the back
of the Kantar figures. During the same period, Tesco and Asda had
another disillusioning time with both general stores seeing a 3.4pc
drop in sales and lost their market share.

As a consequence of the drop in sales Asda’s market share has
contracted to 16.2pc – its most reduced figure in nine year. Asda’s
decision of not takiing part in Black Friday this year is considered
to be another factor for its poor performance.  Morrisons has also
gone through a lean patch and was forced to offload 130 M Local
convenience stores and shutdown 11 supermarket stores. Sales at its
stores were down 2pc amid the three months.  A drop of 1.3pc would not
be normal as food deflation remained high.

Morrisons had stated that its reducing store numbers resulted in a 1pc
to 1.5pc drop in sales. The supermarket store has come back to the
convenience market by opening a Morrisons Daily store at a petrol
station in Crewe and plans to trial another four stores.  Aldi and
Lidl now control 10pc of the UK food market, with sales developing by
15.4pc and 17.9pc individually year-on-year.

The German discounters are relied upon to have a significantly more
grounded Christmas than earlier years as customers spread their
shopping out over distinctive stores.  Aldi and Lidl’s turn to enhance
the quality of their food and offer more upmarket produce, such £4.99
whole lobsters and wine online. These measures have been credited to
lure in more white collar class customers.