Asda and Aldi experience a decline in market share, new data reveals.
- Asda’s market share fell to 11.8% from 13.1% over the past year.
- Aldi’s market share decreased to 10.3% from 10.7% within the same period.
- Ocado and M&S reported significant sales growth despite the overall market slowdown.
- The drop in supermarket sales is attributed to cooler weather and post-summer routines.
Asda and Aldi have observed a notable reduction in their market shares according to the latest analysis from NIQ. During the 12 weeks leading up to 7 September, Asda’s share was recorded at 11.8%, a decline from 13.1% a year earlier. Similarly, Aldi’s market share also saw a drop, moving from 10.7% to 10.3% in the same period.
These findings align with rival data from Kantar, which documented a 1.2 percentage point decrease for Asda, confirming a fall to 12.6% in the 12 weeks ending 1 September. This decline coincided with Asda’s leadership transition, as Lord Rose was announced to succeed Mohsin Issa in the daily operations of the company. Rose had previously expressed his disappointment with Asda’s recent performance.
In contrast, Ocado secured its position as the fastest-growing retailer, with sales increasing by 15.4% over the same period. M&S also reported a robust 12.4% rise in sales. Morrisons succeeded in boosting customer spending per visit through their More Card offers, while Waitrose managed to attract increased foot traffic compared to the previous year.
Overall, supermarkets saw a decrease in till sales over the past month. According to NIQ, the dip from 5.5% to 4% in the four weeks ending 7 September is attributed to cooler weather and a shift back to regular routines after the summer holidays.
NIQ’s UK head of retailer and business insight, Mike Watkins, explained this transition, noting that September marks a significant change in shopping behaviour as households adapt to back-to-school schedules. Watkins highlighted the importance of targeted marketing, as approximately 50% of households are significantly affected by the increased cost of living, emphasising the need for retailers to offer budget-conscious options.
The current retail climate demands strategic adaptation from supermarkets to maintain customer engagement amidst changing consumer behaviour.
