Premium brands are an early Christmas present for Asda and Morrisons
PREMIUM brands have been a highlight of the past 12 weeks for Asda and Morrisons, both of which are in the midst of a turnaround.
Impressive double digit growth was seen from Morrisons’ The Best range, which saw sales increase by 35%, and Asda Extra Special, which grew by 15% according to Kantar Worldpanel.
Kantar head of retail and consumer insight Fraser McKevitt said that shoppers are yet to feel the pinch of rising inflation, with a typical basket of everyday groceries 0.1% cheaper than this time last year.
Aldi was the only retailer to record double-digit sales growth over the past 12 weeks but Asda saw sales fall by 4.7% – though this was a marginally slower rate than in recent months.
It has also been struggling to keep up in market share, which is now down to 15.3% from 16.2% last year.
Yorkshire rival Morrisons’ overall sales declined by 1.4% due to its smaller store portfolio following the disposal of ill-fated M Local convenience chains, but the retailer saw particularly strong performance online – recording its highest ever sales in that channel.
Morrisons’ market share is inching closer to that of last year, at 10.8%. It reached 11% in the same 12-week period last year.
Morrisons has recently relaunched into the convenience sector with a partnership with Rontec Retail. The deal will see Morrisons Daily stores opening up at forecourts up and down the country, starting in leicester.
The supermarket has also launched a housing development consultation at its Camden stores, although it has insisted that thus far it is a one-off and has no further plans to break into the property market.
