Total Till sales at UK supermarkets grew (+5.5%) in the last four weeks ending 10th August 2024, up from 3.6% in the previous month, according to new data released today by NIQ. This is the largest growth in Total Till sales recorded so far this year, which was aided by a sales boost due to a short heatwave when weekly sales growth week ending 3rd August hit +6.6% . Moreover, as Euro 2024 ended, retailers continued to entice shoppers by offering more price cuts and also maintaining promotional spend at 25% of sales purchased. Waning food price inflation also helped, falling to +2.3%.
Over the four week period, NIQ data shows that the online channel performed well with sales up +6.8%, outpacing in-store growth at +3.8%. Online share of FMCG spend grew to 12.8% – up from 12.5% this time last year. Across all supermarkets, visits to stores increased +2.7% and online occasions (orders) were up a healthy +10.5%. NIQ data also shows that sales in the convenience channel also picked up after a poor 2024 so far, with a +4.8% growth.
Category purchasing was helped by the return of hot weather. With alfresco dinning, the value sales of Produce improved +11.8% (unit growth +6.5%) and with a mini heatwave, Soft Drinks were the fastest growing super category at +14.3% (unit growth +10.4%). Sales of BWS recovered with value growth of +5.4% (unit growth +4.7%).
Ice cream value sales soared +38% as did Mineral Water (+32%) as shoppers sought refreshments. Suncare (+49%) and Hayfever remedies (+42%) also had high value growths with more time being spent outdoors and households buying ahead for summer holidays. And sales of barbecues doubled compared to last year to over £1.2m in the last four weeks .
In terms of retailer performance over the last 12 weeks, M&S (+10.7%) and Ocado (+14.3%) are still the fastest growing. Both retailers also experienced significant growth over the last four weeks with households shopping more often for summer indulgences, fresh foods and also groceries.
Mike Watkins, NIQ’s UK head of retailer and business insight, said: “Retailers will be pleased to have maintained shopper spend beyond Euro 2024, with the warm summer weather adding a boost to sales. However, with almost one in three household’s (29%) top concern still being inflation and shoppers still looking for value, it’s clear that loyalty and membership schemes remain key to encourage spend.”
Watkins adds: “As summer draws to a close, retailers will be under pressure to maintain sales growth in the next six weeks. This is especially true with the lack of seasonal events and the back-to-school period, as shoppers settle into new routines. We can also expect more comparative price advertising by retailers as they reinforce price credentials ahead of the all-important Q4 sales build.”
Table: 12-weekly % share of grocery market spend by retailer and value sales % change
