Aldi and Lidl push Big Four to 15-year low

BRITAIN’S Big Four supermarkets’ share of the grocery sector has fallen to a 15-year low as they battle an onslaught from German discounters and online rivals.

Sales at Tesco, Sainsbury’s, Asda and Morrisons were all lower in the 12 weeks to August 11 than they had been a year earlier – partly because of a bonanza in 2018 driven by a heatwave, royal wedding and the football World Cup.

Morrisons posted the largest fall of 2.7pc, figures from the data analyst Kantar revealed, with Tesco and Asda declining by 1.6pc and 1.5pc respectively.

Sainsbury’s was the strongest performer among the Big Four for the first time since November 2017, but still posted a 0.6pc fall in sales.

The four retailers now have a combined market share of 67.4pc, their lowest since November 2004.

Fraser McKevitt, head of retail and consumer insight at Kantar, said: ‘The memory of last year still looms large for retailers.

‘This summer’s comparatively poor weather, combined with low levels of price rises, have made growth hard to find.’

Traditional supermarkets are fighting fierce competition posed by the budget German rivals Lidl and Aldi.

Lidl attracted an additional 489,000 shoppers during the period, notching up a 7.7pc jump in sales. Aldi posted a 6.2pc increase.

The two now have a joint 14pc share of the market.

McKevitt added: ‘Nearly half of all households shopped in an Aldi store during the past 12 weeks, showing the extent to which the discounter has established itself in our retail landscape.’

Online-only supermarket Ocado enjoyed the largest growth over the 12 weeks, with sales up 12.6pc as customers spent an average of £1.93 more on each delivery. However, its overall share is just 1.4pc.

Across the rest of the sector, Coop saw a 0.2pc sales rise, while Waitrose and Iceland posted falls of 1.8pc and 0.4pc respectively.