UK Supermarkets See Sales Surge Ahead of Euro 2024
Recent data from market researcher NIQ reveals a 3.3% increase in sales at UK supermarkets for the four weeks ending May 18 compared to the previous year. The surge led to a brief spell of warm weather, particularly in the week ending May 11.
Consumer Spending Trends:
Mike Watkins, NIQ’s UK head of retailer and business insight, notes that the warm weather significantly influences consumer spending, surpassing the impact of food inflation and stabilizing around 3% in the coming months.
Euro 2024 Excitement:
NIQ's survey indicates a strong interest in the upcoming Euro 2024 soccer championship, with approximately 45% of UK households showing interest. Of those, 69% plan to watch matches either at home alone or with family members. This enthusiasm drives sales of beverages, snacks, and barbecue essentials during the tournament.
Tournament Details:
Euro 2024, hosted in Germany, ran from June 14 to July 14, featuring participation from England and Scotland. However, comparisons with previous years are challenging due to exceptional circumstances, such as last year's record-breaking June.
Top Performers in the Grocery Market:
Over the 12-week period leading up to May 18, online retailer Ocado emerged as the fastest-growing grocer, experiencing a sales increase of 12.4% year-on-year. Lidl and Marks & Spencer followed suit, with growth rates of 9.0% and 7.6%, respectively. Tesco and Sainsbury's, the top two market leaders, achieved growth rates of 5.4% and 6.0%, respectively.
Challenges for Some Retailers:
However, not all retailers experienced growth during this period. Asda reported a decline in sales of 2.7%, while Aldi saw modest growth of 0.7%, indicating varying performances within the competitive landscape.
As anticipation for Euro 2024 builds and summer weather settles in, British supermarkets are poised to capitalize on heightened consumer activity, leveraging both seasonal trends and major sporting events to drive sales growth.
