Convenience stores

Convenience stores see their sales increase | Article

The summer heatwave is prompting Brits to shop in-store, with convenience stores enjoying a 28.9% share of all sales over the past four weeks, NielsenIQ data shows

UK shoppers spent £3.6billion on convenience store groceries in the past four weeks ending August 13, with the channel accounting for 28.9% of sales in that period, news reveals data released today (August 23) by NielsenIQ.

Data from NielsenIQ shows that over the four-week period, total grocery store sales remained strong, growing by +4.5%. However, this was overtaken by growth in convenience store sales, which increased by +5.4%.

Convenience stores also experienced an increase in volume sales (+2.7%) compared to volume sales of grocery multiples, which fell -3.8%.

According to NielsenIQ data, 21% of total convenience store sales were fresh food, where sales in value increased by 13%. Frozen food sales jumped +29%, as did fresh produce (+8%) within this channel.

Industry-wide, the summer holidays increased travel opportunities, while the summer heatwave in mid-July and early August encouraged shoppers to visit more stores. often, resulting in an 8% increase in store visits. says NielsenIQ.

However, the increase in store visits came at the expense of online sales, which fell 8.7% and the online share of FMCG sales fell to 11.3% from 11 .5% in July and 12.9% per year. from.

In terms of retailer performance in the last 12 weeks ending August 13, Aldi maintained a 10% market share, making it the fourth largest retailer in terms of sales, behind Tesco (26.8 %), Sainsburys (13.8%) and Asda. (12.6 percent). Morrisons and Waitrose were the only retailers to see lower sales in the 12 weeks. M&S sales have increased by more than 7% and buyer penetration over the past four weeks has reached almost 20% of UK households.

Mike Watkins, NielsenIQ UK Head of Retail and Business Intelligence, said: “Inflation is driving sales across the sector, but shoppers continue to be very cautious about how much they are buying. spend on groceries, which leads to a drop in the volume of sales to supermarkets. However, the warm weather of the past few weeks has made it possible to return to positive volumes in convenience stores, with an increase in purchases of beverages, frozen and chilled in particular. Shoppers made extra visits to their local stores as the sun rose and Co-ops sales increased 9% over the past four weeks, making it the fastest growing retailer. quickly during the recent heat.

Watkins continues: “The market may have recovered from a low point in March, but we are now seeing the start of an ‘inflation spike’ and we expect buyers to again have to get their spending under control after the ‘back to school’ period within a few weeks time. As inflation continues to bite, the retailers that are focused on saving shoppers money will be the ones that keep sales momentum going and they will be the ones that are most nimble and able to adapt to another change in buyer behavior that can weather the storm. The battle for loyalty doesn’t stop, especially in a time when shopping cart purchases are declining and shopper promiscuity is increasing.