After a brief recovery, UK supermarket sales fell for the first time in five months due to a combination of Black Friday impacting non-food purchases, and falling prices as the Christmas offers kicked in.
Retail players have long believed that large-format stores will eventually take over the landscape, but today’s reality disproves the “bigger is always better” myth. Although large stores still account for 51% of global sales, smaller channels are growing sales up to eight times as fast their larger counterparts.
Tesco experienced its best year-on-year sales figures for over three year. In the 12 weeks ending 8 October 2016, the amount of money Tesco took at the tills increased 1.4% versus the same period last year.
Notching a one-point increase from the first quarter, European consumer confidence was largely stable in the second quarter of 2016, at 79. Notably, consumer confidence improved from the first quarter in 22 of the 34 measured markets in the European region.
The wet and cool weather from the end of June until early July contributed to the worst year-on-year figures at the UK’s leading supermarkets for two years, according to Nielsen retail performance data released today.
Product availability and a convenient location are the two most highly influential factors when it comes to where British shoppers choose to buy their groceries from – according to Nielsen’s new Global Retail-Growth Strategies Survey.
Consumer confidence declined four points in the U.K. (97) and one point in Germany (97) in the first quarter of 2016, as a favorable outlook for jobs worsened. Job prospect sentiment and immediate spending intentions also fell in in both countries.