Latest data from Kantar shows take-home grocery sales in Ireland over the four weeks to 29 December increased by 4.4% to reach nearly €1.4bn, making it the biggest sales month of the year, despite price inflation increasing to 3.6%.
In December, shoppers in Ireland also returned to stores more often, making 23 trips on average to pick up Christmas essentials, compared to just 17 trips on average in Britain.
“December was the busiest trading month we have seen – not just this year, but since the pre-lockdown rush in March 2020,” said Emer Healy, Business Development Director at Kantar.
“As anticipated, Monday 23 December was the most popular shopping day of the year, with consumers spending €107m on that one day alone, €11.9m more than the highest trading day last year. In typical festive spirit, many of us looked for ways to treat ourselves, while the retailers in Ireland rolled out their seasonal lines to help us celebrate in style.”
Kantar found that shoppers were willing to spend slightly more than usual, with sales of branded products up 5.9%. Meanwhile, premium own-label lines saw an increase of 10.5%, surpassing the overall growth of own-label products, which stood at 3.2%. Over the 12 weeks, shoppers spent nearly €140m on premium own-label ranges.
Sales on promotion hit a high of 23.8% in December, growing 5.2%. Shoppers grabbed the chance to spend a bit more than usual on festive treats, with beer & cider and pastries & biscuits seeing the highest levels of buying on deal.
Healy commented: “Alcohol took centre stage in this year’s festive shopping carts, with shoppers spending an additional €79m on alcohol versus the previous month. Champagne & sparkling wine, beer & cider, and wine were popular among shoppers who spent an additional €60.8m compared to the previous month. Others enjoyed themselves in moderation, with 9% of Irish households purchasing no and low alcohol drinks in December, spending an additional €2 million on these products.”
Meanwhile, shoppers spent an additional €28.3m online, increasing sales by 14.7% year-on-year. Over the 12-week period, the number of online shopping trips increased 13.3%, with both new and existing online shoppers looking to save time during the busy Christmas period adding €28.3m to the channel.
Looking at the performance of individual retailers, Dunnes controlled 24.8% of the market after recording sales growth of 6.9%. Shoppers increased their number of trips by 3.6% while picking up more packs per trips, which contributed a combined €44.3m to its overall performance.
Tesco held 24.2% of the market, with value growth of 6.4% as shoppers increased their trips to stores by 5.1%.
SuperValu held 20.5% of the market after seeing growth of 3.2%. Consumers made the most shopping trips to this grocer, averaging 23.8 trips over the 12 weeks. The increased number of shopping trips and more items picked up per trip contributed €27.1m to its performance.
Lidl held a 12.3% share of total spending with growth of 4.6%. Increased trips to stores and increased volume per trip drove an additional €24.2m in sales. Aldi’s share slipped to 10.6% after growth of only 3.9%, but increased trips contributed an extra €18.3m to its overall performance.
NAM Implications:
- Key stand-outs have to be:
- Sales of branded products up 5.9%
- Premium own-label lines up 10.5%
- Indicating if time and offer are right, the public will find ways of responding.
- Meanwhile, rivals have to ask whether the discounters have achieved peak penetration.
- While online continues to grow.
