UK supermarkets experienced a 12.3% uplift in total till sales over the past four weeks ending 20 May 2023, up from the 9.7% increase recorded in April 2023, new data reveals.
The data from NIQ shows UK supermarkets experienced the biggest uplift in sales during the week of the Coronation (+17.6%) as shoppers focused on celebrating the event and bought extra items, with larger stores able to offer a wider variety of celebratory ranges.
Moreover, NIQ data shows that over the four-week period there was a 3.8% increase in shopping occasions – across all channels – with a 4.9% increase in visits to stores, as shoppers continued to shop around for the cheapest prices. Brick-and-mortar store sales increased by 13.5% and there was also a boost in online sales, which grew by 5.2% – the best growth experienced for the channel since April 2021 – while its market share stabilised at 10.9%.
Data from NIQ reveals that volume sales at UK supermarkets were better over the last four weeks, improving to -2.6%, and have slowly improved in every month of 2023 since the low point of -6.9% in January. The highest-performing categories in terms of value sales over the four-week period were bakery (+17.9%), confectionery (+17.9%), and dairy (+16.5%). There was also a lift in discretionary spend which helped to deliver positive volume sales growth in beers, wines and spirits (+0.7%) and crisps and snacks (+0.6%).
During 2023, own-label products have demonstrated strong performance in terms of value sales, with a substantial growth rate of 14.1% surpassing the growth achieved by branded products, which recorded a growth rate of 7.1%. 3 The volume share of own-label products climbed to 63.3% of all FMCG sales in the past four weeks, a jump from 62.1% in 2022.
Mike Watkins, NIQ’s UK Head of Retailer and Business Insight, said: “With warmer weather coming up towards the end of May, we can expect to see a further lift to sales in June, particularly at convenience stores where 30% of households now say they shop at once a week or more.
“The advantage for retailers is that shopper mobility tends to increase over the summer, and with 82% of consumers buying food on the go, this is another reason to visit a store. While some parts of the hospitality industry are facing headwinds, there remains a strong consumer demand for dining at home, and shoppers are indulging themselves through quick grocery delivery and enjoying meals and snacks from a diverse range of rapid delivery platforms like Just Eat, Uber Eats, or Deliveroo. Many shoppers are still looking for a special treat now and again, despite the challenges of inflation.”
