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Dunnes Takes Top Spot While Aldi Hits Record Share

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Dunnes Takes Top Spot While Aldi Hits Record Share

Dunnes Takes Top Spot While Aldi Hits Record Share
October 24
14:40 2018

Dunnes Stores has claimed the top spot in the Irish grocery market for the first time since February this year, according to the latest grocery market share figures from Kantar Worldpanel for the 12 weeks ending 7 October 2018. Dunnes posted strong sales growth of 3.4% over the latest period, propelling the retailer to an overall market share of 22.1%.

Douglas Faughnan, consumer insight director at Kantar Worldpanel, comments: “Dunnes traditionally performs strongly over the festive period and the retailer may feel like Christmas has come early this year. While it is too soon to assess the full impact of its new Everyday Savers offer, which prices many own brand everyday items at a euro or less, Dunnes’ continued focus on shopper campaigns has helped to attract an extra 14,000 shoppers this period.”

Douglas Faughnan, consumer insight director at Kantar Worldpanel.

SuperValu, whose owner Musgrave recently acquired high-end Dublin-based grocer Donnybrook Fair, accounted for 21.4% of Irish grocery sales in the most recent 12 weeks, however the retailer still under trades in the capital. Douglas Faughnan explains: “Although SuperValu holds a 26.0% share in its Munster heartland, the retailer is less represented in Dublin, where it only accounts for 19.4% of sales. By contrast, Tesco and Dunnes perform more strongly in the capital, with shares of 23.6% and 26.1% respectively. Musgrave will be hoping its latest acquisition can help SuperValu make up ground in this area.”

Meanwhile, sales growth of 4.5% has helped Aldi to achieve a record market share of 11.8% in the most recent period. The retailer’s Swap & Save campaign, which challenges shoppers to see how much they could save by switching to Aldi, has clearly had an impact. The grocer attracted an additional 28,000 shoppers through its doors, with over 80% of its growth in the past 12 weeks coming through family shoppers.

After six consecutive periods at the top, Tesco was the second-largest supermarket in the most recent period, accounting for 21.5% of total grocery sales. With online grocery sales up 15% compared to this time last year, the retailer will be hoping its latest e-commerce initiative further increases its dominance of online grocery in Ireland.

Douglas Faughnan continues: “Tesco’s recent announcement of free delivery for over 65s when they spend €50 or more shows it is looking to further cash in on the growth of online shopping in Ireland. Although just 2.4% of grocery retailing comes through e-commerce at present, this figure is forecast to hit 5.0% by 2022, and retailers are now looking at new ways to capture their fair share of the online pie.”

Lidl is the latest retailer to try and make the most of the online boom, partnering with app Buymie to allow shoppers in a small number of Dublin postcodes to order groceries on their phones. Lidl turned in a strong performance in the most recent 12 weeks, growing its market share to 11.7% on the back of sales growth of 3.0%.

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