Tesco still on top as Aldi and Lidl continue to grow in Irish grocery market
Irish consumers are continuing to embrace discount supermarkets, new statistics reveal.
Discount supermarkets Aldi and Lidl grew their sales in the Irish grocery market by over 14pc year-on-year in the 12 weeks to October 12, the figures from Kantar Worldpanel show.
In the 12 weeks to October 12, Lidl's sales were 14.9pc higher than in the same period last year, while Aldi's were 14.3pc higher.
"They've both capitalised on more households being created within the Irish community as a whole," Kantar Worldpanel consumer insight director Georgieann Harrington said.
"Not only are they getting more shoppers in the doors of their stores but they're also getting them to spend that much more.
"If we think back to 2008, when the recession kicked in, discounters were still probably very young in terms of their presence in Ireland. A lot of people probably went there just for the novelty items, but what we're seeing now is they've quite a few loyal shoppers that are going in," she added.
Of the other major supermarkets, SuperValu was the only one to improve when compared to the same period last year, increasing its sales by 0.2pc.
"While SuperValu's growth has been moderate, its performance has been consistent. It continues to perform well through 'top up' shops and smaller convenience trips, and the acquisition of Superquinn has given it an improved balance of store locations across the country," Ms Harrington said.
Tesco's sales were down almost 5pc - a lower drop than in recent months - with Dunnes' sales down 0.4pc.
Tesco still has the largest market share of the big supermarkets at just over a quarter, while SuperValu has the second largest at 24.6pc. "If you're at the top it's always easier for you to go down rather than up," she said.
"They have maintained their shopper base; 80pc of Irish households have shopped with them in the last 12 weeks - but the big challenge for them remains getting people to spend that much more when they're actually in store," Ms Harrington said.
Average spend at Dunnes has fallen by almost €7 - a big factor in its recent performance - but despite losing sales, the retailer has captured a larger share of the market as its main rival Tesco continues to drop back. Dunnes' current market share is its highest since February.