Sales in the grocery market improved slightly with growth in grocery multiples reaching 3.1% in the four weeks to 15 May, according to Nielsen Scantrack.
This is the first period in 2010 that four-weekly sales have achieved over 3% growth. However, across all grocery channels the headline growth was more subdued at 2.5%, which is reminder there is still a low growth environment in the grocery sector.
Mike Watkins, senior manager retailer services at Nielsen, said: “With low but still manageable food inflation feeding into sales since Easter, we can be reasonably confident that we have passed the low point in terms of year-on-year growth but shoppers still need to be encouraged to spend.”
Nielsen data also shows that shoppers are again cutting down the number of shopping trips they make with 1% fewer trips having been made across the grocery market in the four weeks to 15 May compared to the same period in 2009.
Watkins added: “Cutting down on the number of trips made is a trend we saw at the outset of the recession when inflation was very high. Our consumer confidence survey saw rising fuel prices top the list of growing consumer concerns and this could account for fewer, but larger shopping trips being made.”
When looking at individual retailers Nielsen data identified that Tesco is achieving the highest growth in spend per visit in the latest four weeks with shoppers spending an average of just over £33 per visit; Asda had a stronger four weeks after a four month low with more price cuts, single price promotions and the ‘Asda Price Guarantee’ messaging all working together to build performance; Sainsbury’s is attracting the most new shoppers out of the top four retailers, with just under 40% of households visiting in the four weeks to 15 May; and Morrisons are also bucking the market trend and are achieving an increase in shopper visits following some strong promotions on fresh foods.
