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© DataTalk Research, The British Consumer Index June 2014 TESCO losing ground as peoples ‘main’ supermarket. Loyalty has played a big part in the Tesco success story. Clubcard was the example which other organisations sought to emulate, and rightly so. However, the latest figures from The British Consumer Index seem to show that the formula is no longer as powerful as it was. The chart below shows the percentage of ‘Main Shoppers for the household that use Tesco as their main supermarket. As can be seen the trend is clear. Up until late 2011 things were looking good, then in 2012, things turned a corner. Whatever the reason, the trend shows that Tesco is losing ground as people’s core supermarket. Loyalty seems to be declining despite Clubcard and efforts to aggressively compete on price. Perhaps another reason could be the more ‘transportable’ loyalty schemes available on credit cards which can be used anywhere. Sainsbury’s Steadies the Ship Of the ‘Big 4’ supermarket chains Sainsbury’s appears to have arrested the decline in market share with Asda seeming to be showing signs of recovery. Morrisons decline in market share is really about the last 12 months with accelerating over the period from November 2013. Of the ‘Big 4’ it is Tesco that seems to be showing the most sustained long terms downward trend.

Tesco losing grownd as main supermarket

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© DataTalk Research, The British Consumer Index June 2014

TESCO losing ground as peoples ‘main’ supermarket.

Loyalty has played a big part in the Tesco success story. Clubcard was the example which other organisations sought to emulate, and rightly so. However, the latest figures from The British Consumer Index seem to show that the formula is no longer as powerful as it was.

The chart below shows the percentage of ‘Main Shoppers for the household that use Tesco as their main supermarket. As can be seen the trend is clear.

Up until late 2011 things were looking good, then in 2012, things turned a corner.

Whatever the reason, the trend shows that Tesco is losing ground as people’s core supermarket. Loyalty seems to be declining despite Clubcard and efforts to aggressively compete on price. Perhaps another reason could be the more ‘transportable’ loyalty schemes available on credit cards which can be used anywhere.

Sainsbury’s Steadies the Ship

Of the ‘Big 4’ supermarket chains Sainsbury’s appears to have arrested the decline in market share with Asda seeming to be showing signs of recovery.

Morrisons decline in market share is really about the last 12 months with accelerating over the period from November 2013.

Of the ‘Big 4’ it is Tesco that seems to be showing the most sustained long terms downward trend.

© DataTalk Research, The British Consumer Index June 2014

So, who has been winning, if anyone, in the battle to be a households ‘Main’ supermarket?

So, who has been winning, if anyone, in the battle to be a households ‘Main’ supermarket?

Probably no surprise to see that both Aldi and Liddle, particularly Aldi have grown their share considerably.

Their combined total having grown to 10% of main shoppers considering them their main supermarket.

One other point worth mentioning.

The list of ‘named’ supermarkets monitored is:

ASDA, CO-OP, MARKS & SPENCER, MORRISONS/SAFEWAY, SAINSBURY’S, TESCO, WAITROSE, ICELAND, ALDI and LIDL.

In addition we have a category of ‘Other’. What we are seeing is a rise in this category from 1% in 2009 to 3% so far in 2014. This is a trebling of the number of households who do not consider any of the main supermarkets their ‘main’ one. This could be explained by a simple lack of loyalty to any one supermarket or, the rise in the convenience stores as the place people are using for their shopping.

For further details contact:

Steve Abbott

Director; The British Consumer Index

E; [email protected]

T; 0203 286 1981