Sainsbury stands out as Tesco and Morrison sales fall, Kantar shows

Sainsbury’s has continued to thwart its rivals in recent weeks, increased sales and growing its market share as Tesco, Asda and Morrison all saw sales fall, according to Kantar Worldpanel data.

Difficult conditions continued for the industry, with total grocery market sales in the 12 weeks to 6 December up by only 0.1% compared to the same period last year.

The latest period represented the lowest growth since June and was the ninth consecutive month where sales have increased by less than 1%, Kantar said.

Consumers are set to benefit from the cut-throat price war in the industry, as the Big Four fight to defend their territory from the fast-growing limited assortment discounters (LADs), Aldi and Lidl, with grocery deflation accelerating to 1.9% in the period from 1.7% a month ago.

With all supermarkets cutting prices, particularly staples like eggs and butter, the cost of everyday groceries fell by 1.9% this month, meaning the £71.33 spent on the 'big Christmas shop' last year should be trimmed.

While its rivals struggle, Sainsbury's is making gains, increasing sales 1.2% and growing across its convenience, supermarket and online businesses to expand its market share to 16.7%.

Last month Sainsbury's was the first major supermarket to claim a market share increase for over a year when it took a 16.6% gain.

On the other side of the coin, sales fell at both Tesco and Asda by 3.4%, though both managed to increase sales online, while Morrisons revenues were down by 2%.

Kantar said Aldi and Lidl held onto their combined 10% share of the market achieved last month, growing sales by 15.4% and 17.9% respectively year-on-year.

Co-operative and Waitrose both gained market share, with the Co-op’s revival continuing with sales growth of 2% and an increased market share of 6.2% while Waitrose grew revenues by 2.7% to hold a 5.1% share of the market.