Dunnes Holds On To Top Spot In Ireland; Strikes Hit Sales At Tesco

For the first time Dunnes Stores has held its position as Ireland’s largest grocer for two consecutive months. Latest supermarket share figures from Kantar Worldpanel in Ireland for the 12 weeks ending 26 February 2017, show the chain’s sales grew by 4.6% with its market share increasing to 22.9%, up from 22.5% last year.

David Berry, director at Kantar Worldpanel, said shoppers at Dunnes are adding more to their baskets, helping it hold onto the top spot. “The grocer’s ‘Shop & Save’ initiative is continuing to influence customers, with the average basket featuring an extra one and a half items – an additional €3 per trip and €25m for the retailer in the past 12 weeks,” he said.

Former number one SuperValu remained close behind Dunnes with a 22.6% share of the market. Average customer spend in its stores was up by over €1 more per trip, helping sales rise by 0.5%. “With Supervalu planning to open three new stores and refurbish a host of others, the retailer will be expecting to experience a boost in sales later in the year,” said Berry.

Meanwhile, following three months of steady growth, Tesco’s sales fell by 1% as eleven days of staff strikes led to disruption for the retailer.  Despite the industrial action only affecting eight stores, Kantar Worldpanel said there has been a clear impact on the retailer’s performance, with its market share falling by 0.9 percentage points to 21.7%.

Aldi and Lidl continued their robust growth, with sales rising by 5.3% and 4.1% respectively.  Over the 12 week period, Aldi attracted an additional 20,000 customers into its stores, while also encouraging them to visit more frequently.  Lidl’s uplift in sales enabled the retailer to increase its share of the market to 10.6%.

The data also showed that grocery inflation eased slightly to 0.5%, down from the 0.7% seen the previous month.

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Meanwhile, Kantar Worldpanel’s analysis of the market in Northern Ireland showed Tesco remained way out in the lead with its sales increasing 2% and share of the market rising to 34.7%.

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NAM Implication:
  • Even more important, the combined Aldi and Lidl share is 21.4% vs. Tesco 21.7%…