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Supermarket sales boosted by warm weather and Team GB | |
(35 minutes later) | |
Warm weather and Team GB’s success at the Olympics and Paralympics boosted supermarket sales over the past three months, as Britons in celebratory mood splashed out on alcohol. | Warm weather and Team GB’s success at the Olympics and Paralympics boosted supermarket sales over the past three months, as Britons in celebratory mood splashed out on alcohol. |
Supermarket sales rose 0.3% over the 12 weeks to 11 September, with a particular lift from alcohol sales over the final month of the period, up 8.5% according to Kantar Worldpanel. | Supermarket sales rose 0.3% over the 12 weeks to 11 September, with a particular lift from alcohol sales over the final month of the period, up 8.5% according to Kantar Worldpanel. |
Prosecco and Champagne were the most popular tipples, boosting sales of sparkling wine by 36% over the shorter four-week period. | Prosecco and Champagne were the most popular tipples, boosting sales of sparkling wine by 36% over the shorter four-week period. |
But Fraser McKevitt, head of retail and consumer insight at the market analysis firm, said strong drinks sales masked a weaker picture overall. | But Fraser McKevitt, head of retail and consumer insight at the market analysis firm, said strong drinks sales masked a weaker picture overall. |
“While overall sales growth has been slow, consumers have been keen to celebrate Britain’s Olympic and Paralympic golden summer ... as promotional events across a number of retailers successfully tapped into the nation’s celebratory mood.” | “While overall sales growth has been slow, consumers have been keen to celebrate Britain’s Olympic and Paralympic golden summer ... as promotional events across a number of retailers successfully tapped into the nation’s celebratory mood.” |
A breakdown of figures for the major supermarkets showed that Aldi and Lidl continued to outperform their peers. Sales rose 11.6% and 9.5% respectively at the two discount chains over the three months, compared with the same period a year earlier. | A breakdown of figures for the major supermarkets showed that Aldi and Lidl continued to outperform their peers. Sales rose 11.6% and 9.5% respectively at the two discount chains over the three months, compared with the same period a year earlier. |
“Aldi and Lidl continue to grow – not only are both continuing to expand their store estates but existing customers are visiting more frequently and upping their basket size,” McKevitt said. | “Aldi and Lidl continue to grow – not only are both continuing to expand their store estates but existing customers are visiting more frequently and upping their basket size,” McKevitt said. |
“The discounters are helping drive the industry-wide growth in premium own-label lines, with marketing campaigns moving away from showcasing only price to a focus on quality.” | “The discounters are helping drive the industry-wide growth in premium own-label lines, with marketing campaigns moving away from showcasing only price to a focus on quality.” |
Tesco sales fell 0.2%, but it was the retailer’s best 12-week performance in two years, again boosted by alcohol sales. Its share of the market edged down 0.1 percentage points to 28.1%, but it remained considerably ahead of its next biggest rival, Sainsbury’s, which had a 15.9% share. | Tesco sales fell 0.2%, but it was the retailer’s best 12-week performance in two years, again boosted by alcohol sales. Its share of the market edged down 0.1 percentage points to 28.1%, but it remained considerably ahead of its next biggest rival, Sainsbury’s, which had a 15.9% share. |
Tesco was the best performer among the “big four” supermarkets, which includes Sainsburys, Asda and Morrisons. | Tesco was the best performer among the “big four” supermarkets, which includes Sainsburys, Asda and Morrisons. |
At Waitrose, a 3.4% increase in sales over the three months boosted its share of the grocery market to a record high of 5.3%, following a promotional push. | At Waitrose, a 3.4% increase in sales over the three months boosted its share of the grocery market to a record high of 5.3%, following a promotional push. |
McKevitt said: “It’s half-price event boosted performance across much of the store – particularly in household and alcohol. However, the increase in sales has come at a cost, with Waitrose’s proportion of promotional sales reaching a higher level than some of the traditionally more promotion-focused big four retailers.” | McKevitt said: “It’s half-price event boosted performance across much of the store – particularly in household and alcohol. However, the increase in sales has come at a cost, with Waitrose’s proportion of promotional sales reaching a higher level than some of the traditionally more promotion-focused big four retailers.” |
Weekly sales figures published separately by Waitrose’s parent group, John Lewis Partnership, showed sales at the supermarket were 3.7% higher in the week ending 17 September, compared with a year earlier, hitting £125m. | Weekly sales figures published separately by Waitrose’s parent group, John Lewis Partnership, showed sales at the supermarket were 3.7% higher in the week ending 17 September, compared with a year earlier, hitting £125m. |
The increase was driven by the unusually warm September weather, which caused sales of ice-cream and barbecue food to spike. | The increase was driven by the unusually warm September weather, which caused sales of ice-cream and barbecue food to spike. |
Ben Stimson, the retail director at Waitrose, said: “The weather during a week in which the UK’s warmest September day since 1911 was recorded helped drive a good performance last week before the sunshine turned to downpours. | Ben Stimson, the retail director at Waitrose, said: “The weather during a week in which the UK’s warmest September day since 1911 was recorded helped drive a good performance last week before the sunshine turned to downpours. |
“Ice-cream sales were up almost 43%, barbecue sales were up by 100% and service counter meat sales up by 32%.” | “Ice-cream sales were up almost 43%, barbecue sales were up by 100% and service counter meat sales up by 32%.” |
Salads and sushi were also popular last week. | Salads and sushi were also popular last week. |
Sales at John Lewis over the week grew by 0.9% to £79m. Sales of electricals and home technology increased by 9.9% compared with a year earlier, boosted by the release of the iPhone 7 and wireless headphones. | Sales at John Lewis over the week grew by 0.9% to £79m. Sales of electricals and home technology increased by 9.9% compared with a year earlier, boosted by the release of the iPhone 7 and wireless headphones. |
Clothing was a weak spot for the department store chain, with fashion down 8% over the week. John Lewis blamed the fall on the September heatwave. | Clothing was a weak spot for the department store chain, with fashion down 8% over the week. John Lewis blamed the fall on the September heatwave. |