UK grocery sales growth eases with shoppers cautious ahead of Christmas

Grocery sales growth slowed slightly over the month of October as shoppers held back spend ahead of Black Friday and Christmas, according to data from consumer intelligence firm NIQ on Wednesday.

Till sales grew by 4.0% year-on-year in the four weeks to 2 November, down from 4.7% the previous month, while spend per visit slipped 6% on average to £18.67.

NIQ data showed that shoppers were spending cautiously during the period, with a slight increase in sales for items on promotion, with sales at 25%, up from 24%.

Online grocery sales were up 4.7% on last year, rising to 12.9% of total grocery sales, up from 12.7% last month.

"Shoppers so far have been cautious and it’s evident that they are saving on grocery essentials to be able to afford treats and indulgences and we have a polarised consumer with 50% of households continuing to feel pressure on personal finances," sad Mike Watkins, UK head of retailer and business insight at NIQ.

Discretionary spending of festive items was strong, with confectionary sales up 10.5% over the period, while nearly 1m shoppers purchased Christmas chocolate tins and 4% of households bought chocolate advent calendars.

However, spending on essentials was more subdued, with packaged grocery sales rising by just 1.7%. Beer, wine and spirits unit sales were down 0.4% in a sign that "shoppers are holding back until nearer the festivities", NIQ said.