In the competitive landscape of UK supermarkets, Ocado has emerged as the standout performer, maintaining its position as the fastest growing retailer over the past 12 weeks.
According to the latest data from NIQ, Ocado reported a significant sales increase of 16.2%. As the festive season approaches, other major players such as M&S and Tesco are also gaining momentum. M&S saw a notable sales rise of 10.6%, while Tesco experienced healthy growth at 5.1%.
Total sales at UK supermarkets showed a steady growth of 3.7% in the four weeks leading up to 30 November 2024, a slight decrease from the previous month’s 4%. This deceleration is attributed to factors like milder weather and the distractions of Black Friday, as well as consumers delaying their shopping until early December.
Despite this slowdown, there was an encouraging increase in physical store visits, up by 5.7%. Online shopping also saw a modest rise of 0.6%, resulting in the online share of fast-moving consumer goods (FMCG) reaching 13.1%, slightly down from 13.4% the previous year.
NIQ predicts that grocery spending will peak at £10 billion in the weeks leading up to Christmas, with the week before Christmas expected to be the biggest, seeing £6 billion spent across grocery retailers. Mike Watkins, NIQ UK’s head of retailer and business insight, forecasts a late surge in shopping for fresh produce, dinner centrepieces, and last-minute gifts, with consumers likely opting for premium items.
Furthermore, Tesco has achieved its highest market share since December 2017, now commanding 28.1% of the market according to Kantar.
The upcoming weeks are poised to be critical for UK supermarkets as they navigate the bustling pre-Christmas period. Ocado’s impressive growth exemplifies a successful strategy in a competitive market, while M&S and Tesco continue to strengthen their positions as the holiday season advances.
