Tesco's price cuts bear fruit in UK
RETAIL giant Tesco gained some market share in Britain in April, signaling a campaign of price cuts to keep discounters at bay is starting to work.
The UK's biggest food chain accounted for 29.1pc of British supermarket revenue in the four weeks to April 27, analysts at Citigroup said. Tesco's sales rose 0.9pc, versus a 7pc drop in March. Third-ranked Sainsburys also gained market share, while Wal Mart's Asda unit and Wm Morrison Supermarkets declined.
"Lower prices across the board is great for shoppers, but has driven down market growth to its lowest level in 11 years," said Edward Garner, director at Kantar Worldpanel, which compiled the data.
Tesco previously vowed to commit at least £200m this year to set product prices lower in a bid to counter German budget chains Aldi and Lidl, which have lured shoppers away from the market leaders.