Proactive Investors - UK supermarkets experienced a 9.1% increase in total till sales in the four weeks ending on 7 October 2023, data from NIQ revealed.
Although slightly lower than the 10.1% increase reported last month, volume sales improved to a decrease of 0.4%, indicating a slowdown in price hikes as shoppers took advantage of reduced products.
Shoppers also appeared to be making the most of the discounts offered through supermarket loyalty schemes.
Aldi and Lidl, the German discount retailers, continued to lead in terms of growth, with sales up 20.0% and 18.4% respectively. Tesco PLC (LON:TSCO) and J Sainsbury PLC (LON:SBRY) also maintained robust sales, showing a 9.5% and 8.9% increase, respectively.
Marks and Spencer Group PLC (LON:MKS) experienced sales rising by 12.6%, notably benefiting from the warm weather, and Ocado (LON:OCDO) saw a 9.4% rise.
Although physical store visits only increased by 1.6%, online grocery sales continued to grow, making up 11% of total revenues during the period.
Mike Watkins, NIQ UK head of retailer and business insight, said: “Ocado has grown market share of the online channel helped by increased marketing activity and the investment in price matching against Tesco including promotions and Clubcard prices. These seem to be resonating well with shoppers.”
He noted how although this month's figures were up against favourable comparatives last year, there was a possibility the growth was a response to a boost in confidence among shoppers regarding their finances.