Rising prices drive Top 100 brands growth

The Checkout Nielsen Top 100 Grocery Brands report from Talking Retail, compiled in partnership with global market research company, Nielsen, shows increases in raw material costs have fuelled price increases and driven growth at some of the biggest grocery brands.

Categories affected by price hikes at the end of last year include dairy and bakery, plus those products that are reliant on those ingredients in their manufacture.

In total, the Top 100 Grocery Brands accounted for sales of more than £15bn in 2007, up by £1bn on the previous year.

The 10 fastest-growing brands, meanwhile, include milk (Cravendale), cheese (Cathedral City), probiotic yogurt (Danone Activia) and bread (Warburtons).

Report editor Fiona Briggs said: “While the increases in raw material costs only began to take their toll in the last two months of 2007, they are set to have further impact throughout 2008.

“Manufacturers in sectors such as ice cream and chocolate confectionery are also set to be affected by higher raw materials cost and this is likely to be reflected in higher prices.”