Supermarket sales have seen the fastest growth since April 2021 despite grocery price inflation hitting a peak of 11.6%.
Supermarket sales rose by 2.2% in the 12 week period to 7 August, bolstered by soft drinks, ice cream and summer clothes, according to the latest take-home grocery figures from Kantar. This is the fastest growth the industry has seen since April 2021, as the market continues its post-pandemic recovery.
The latest numbers come as grocery price inflation hit 11.6% over the past four weeks, the highest ever recorded by Kantar. The rise means that the average annual supermarket shopping bill is expected to increase by an average of £533, on a like-for-like basis.
Kantar’s head of retail and consumer insight Fraser McKevitt said: “As predicted, we’ve now hit a new peak in grocery price inflation, with products like butter, milk and poultry in particular seeing some of the biggest jumps.
“It’s not surprising that we’re seeing shoppers making lifestyle changes to deal with the extra demands on their household budgets.”
The Kantar data also revealed that sales of own-label ranges now account for 51.6% of the market – a rise of 7.3% in the past four weeks alone, making it the biggest share Kantar has ever recorded.
Instore sales have been boosted by the warm weather, with record temperatures having an impact on consumers’ baskets.
Shoppers have turned to mineral water and soft drinks, with sales up by 23% and 10% respectively in the past four weeks. Ice creams have also seen 18% year-on-year growth, a 4% boost on the previous month.
Supermarkets have also benefitted from consumers seeking out affordable clothing as they look to update their summer wardrobe now that holiday restrictions have been removed.
Sales of clothes intended for summer holidays – such as shorts, sundresses, caps and swimming costumes = have increased by 163%.