Aldi along with Lidl sales soar as prices rise

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Sales at Aldi along with Lidl have grown at their fastest rate in more than two years as the discounters opened brand-new stores along with passed on cost rises to consumers, brand-new research shows.

The two retailers’ combined sales rose almost 20% within the 12 weeks to 21 May compared with the same period last year, Kantar Worldpanel said.

Meanwhile, 1.1 million more households shopped at either store.

Kantar said all supermarkets had seen “some level of rising prices”.

Grocery inflation hit 2.9% during the period.

According to the research, grocery sales climbed 3.8% within the three months – the best performance since September 2013.

All 10 leading grocers also recorded growth, with average sales up 1.6% across the big four supermarkets: Tesco, Sainsbury’s, Asda along with Morrisons.

However, Aldi along with Lidl saw by far the biggest sales increases, climbing 19.8% along with 18.3% respectively.

Own-label boost

Chris Hayward, a consumer specialist at Kantar, said sales at Lidl along with Aldi had been boosted by inflation.

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He added: “however their rapid growth can be also the effect of more of the UK population shopping in their stores more often, as they both continue a programme of store openings.”

Both retailers had also developed “very successful” own-label lines, according to Mr Hayward: “These played well to customers’ desire for value, while also encouraging them to trade up to more expensive products.”

Kantar said own-label products were a major source of growth for all retailers, outpacing total sales of branded goods.

Shoppers also bought more healthy foods after the excesses of Easter, when the nation consumed some £325m worth of Easter eggs.

By volume, sales of mineral water were up 7.4%, eggs by 5.1% along with fresh produce by 2.1%, while sugar sales fell 5.6%.

The research firm said in which food cost inflation, caused by the recent fall within the pound, had already begun to hit shoppers’ hip pockets, with the average household spending yet another £27 on shopping within the period.

“in which may not seem like much, however if inflation continues at its current rate over the course of a year in which could mean an extra £119 spent on groceries per household,” said Mr Hayward.

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