Personal-label items hit report 52.2% of grocery gross sales as consumers search worth, with inflation easing to its lowest degree since April
UK grocery worth inflation eases to lowest degree since April (Picture: Getty)
Grocery worth inflation eased again to 4% in January, reaching its lowest level since April, new knowledge reveals. The drop from December’s 4.3% got here as grocery store own-brand merchandise accounted for 52.2% of grocery purchases, hitting an unprecedented excessive, in accordance with market analysis firm Worldpanel by Numerator.
Spending on promotional objects surged 10.9% year-on-year, representing the quickest development fee since October 2024, while full-price product gross sales climbed by simply 1.7% in comparison with the identical four-week interval final yr. Fraser McKevitt, head of retail and shopper perception at Worldpanel, stated: “For many consumers, January is all about resetting family budgets, and this yr was no exception.
Customers within the fruit and greens part of Asda (PA) (Picture: PA Archive/PA Pictures)
“Whereas grocery gross sales proceed to develop and inflation eased to its lowest degree in months, worth remained entrance of thoughts for a lot of, with own-label hitting a report excessive, accounting for greater than half of all grocery spend.”
In January, practically 1 / 4 of customers (23%) sought high-protein meals, while 26% sought high-fibre choices, a Worldpanel survey discovered.
Cottage cheese gross sales rocketed 50% year-on-year, bought by 2.8 million households – roughly 600,000 greater than final yr.
Recent fruit and dried pulse gross sales climbed 6% year-on-year, alongside recent fish rising 5%, poultry rising 3%, and chilled yoghurt rising 4%.
So-called useful drinks – these promoted as delivering well being benefits together with power boosts, digestive wellness or temper enchancment – had been bought by 11% of households, with expenditure rising 13% in comparison with final yr.
Mr McKevitt stated: “In a month when customers usually look to rein in spending, it’s notable what number of are nonetheless prepared to pay a premium for wellness, with useful drinks costing practically 4 occasions as a lot as typical comfortable drinks at £4.69 per litre.”
Lidl emerged because the fastest-expanding bodily retailer, recording gross sales development of 10.1% throughout the 12 weeks to January 25 versus the corresponding interval final yr.
Ocado’s income climbed 14.1%, pushing the digital grocer’s market share to 2.1%.
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Sainsbury’s noticed a 5.3% surge in until receipts, while Tesco recorded gross sales development of 4.4% to seize 28.7% of the market. Waitrose delivered the steepest enhance in common basket spend amongst grocers, although its market share remained secure at 4.7%.
M&S grocery gross sales jumped 6.9% greater when in comparison with the equal quarter final yr. Asda’s income dropped 3.7% year-on-year, while Co-op’s gross sales declined 1.6%.
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