Morrisons claim first market share gain since 2011 while Asda struggles

MORRISONS recorded its first gain in market share since 2011 but Asda continues to struggle as the supermarket wars show little sign of abating.

The two Yorkshire supermarket groups have had very different trajectories since the start of the year, according to figures from Kantar Worldpanel.

In the 12 weeks to June 21, Morrisons enjoyed the largest sales increase among the Big Four supermarkets, with sales growth of 0.6%.

The Bradford-based supermarket chain, under the leadership of David Potts, has increased market share to 11% – up 0.1 percentage points on a year ago, but crucially the first market share gains made by Morrisons since December 2011.

Asda’s sales fell 3.5%, reducing its market share to 16.5% market share, down from 17.1% last year. The Leeds-based group is focusing more on protecting profits than sales and has previously said it favours providing long-term value rather than gaining sales through costly promotions.

The overall grocery market is declining according to the figures, with 0.1% less going through the tills compared to last year.

Sales fell 1.3% at Tesco and Sainsbury’s, whilst Co-operative sales were steady, but “crucially” ahead of the market for the first time in nearly four years.

Discount retailers Aldi and Lidl were not hindered by the U-turn from some of their competitors, both increasing market share, along with Waitrose, which increased sales by 1.2%.

Prices have been falling since September 2014, and groceries are 1.7% cheaper compared with a year ago, but Kantar said that they were projected to rise again by the end of the year.

Kantar Worldpanel figures

 

 

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