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Grocery Market Share Ireland - Private Label Thriving As Inflation Rises



Grocery Market Share Ireland - Private Label Thriving As Inflation Rises

New grocery market figures from Kantar Worldpanel in Ireland, published today for the 12 weeks ending 13 May 2012, show a tough trading environment for retailers as total grocery sales decline by 0.2%.

David Berry, commercial director at Kantar Worldpanel, explains: “Retailers’ own brands continue to appeal to shoppers in the face of depressed household incomes, growing at 2.3% year on year, as shoppers focus on saving rather than spending. Sales of branded goods have dropped over the past year and now account for 53% of the market, down from 54.1% last year. In contrast, we are seeing own label products thriving for retailers like Tesco, SuperValu, Aldi and Lidl.

“Among the retailers this month Aldi, Tesco, SuperValu and Lidl have all grown faster than the market, placing increasing pressure on their competitors. Aldi’s growth of 20.1% has led to a record share for the retailer this month, breaking through the 5% mark to 5.2% and further demonstrating the importance of price to consumers. Tesco has also posted a new record share this month of 28.4%, increasing from the 27.4% it posted in the same period last year and solidifying its number one status in Ireland.”

SuperValu continues to perform well following the launch of its SuperValu range. As a result, its market share has increased by 0.4 points to 19.8% following a tough trading period this time last year.

An update on inflation

Grocery inflation stands at 2.2%* for the 12 week period ending 13 May 2012, up from 1.8% in the previous period but significantly below the 3.5% seen in November 2011.

*This figure is based on over 75,000 identical products compared year-on-year in the proportions purchased by Irish shoppers and therefore represents the most authoritative figure currently available. It is a ‘pure’ inflation measure in that shopping behaviour is held constant between the two comparison periods – shoppers are likely to achieve a lower personal inflation rate if they trade down or seek out more offers.

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