Management / Morrisons tops supermarket sales growth figures
Morrisons tops supermarket sales growth figures
30 June 2015
Morrisons has seen the largest sales growth among the Big Four supermarkets for the second month in a row after it was saved at the last minute from being kicked out of London's blue chip index.
The latest grocery share figures from Kantar Worldpanel show the overall market slipping back into decline with 0.1% less going through the tills in the 12 weeks to June 21 compared with a year earlier.
Groceries are now 1.7% cheaper than a year ago, Kantar said.
Prices have been falling since September last year, but the rate of decline is slowing, meaning they are projected to rise again by the end of the year.
However Bradford-based Morrisons saw sales grow 0.6%, and Waitrose also grew ahead of the market by 1.2%.
Morrisons narrowly avoided an embarrassing relegation to the FTSE 250 earlier this month after its first rise in sales for nearly 18 months sent shares surging.
It had been on track to be kicked out of the FTSE 100 after a tumultuous time for the group saw its share price tumble.
Morrisons increased its market share to 11%, while Aldi and Lidl continued to take business away from the competition reaching a new high of 5.5% and rising to 3.9% respectively.
Sales fell by 1.3% at Tesco and Sainsbury’s, taking market share down to 28.6% and 16.5% respectively, a decrease of 0.3 and 0.2 percentage points.
Sales at Asda were down by 3.5%, leaving a 16.5% share compared with 17.1% last year.
The Co-operative held its market share steady at 6.2%.
Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel, said: “Morrisons has seen the largest sales increase among the Big Four retailers for the second month in a row, recording a sales growth of 0.6%, which has been supported by an increase in online shopping.
“Continuing to grow ahead of the market, the retailer has increased its market share to 11%, up 0.1 percentage points compared with a year ago. While only a small increase against a weak 2014, this does represent the first market share gains made by Morrisons since December 2011.
“Last seen in November, the return to marginal decline across the grocery market reflects both falling prices and only steady volume growth.
“Sales volumes are up 2% compared to a year ago but are not anticipated to accelerate, even with an improving economy, as demand for groceries has remained broadly steady since before the recession.”