For the four weeks to 12 July, researchers NielsenIQ (NIQ) have today (23 July) reported that shoppers kept tills at UK supermarkets ringing, aided by the heat and a - so far - classic summer of sport.
Following three heatwaves in four weeks alongside the sports, UK shoppers enjoyed a host of summer staples, seeing sales growth in cider (+11.2%) and fresh cream (+13.8%). They also spent £132 million on strawberries!
With the discounters also seeing growth, the sunny spell hit just as the sport season peaked. Big events like Wimbledon and the Women’s Euros have helped to “move the dial on impulse purchasing,’” boosting incremental spend across categories. In this week sales peaked at +7.9%
The four weeks also saw an increase in unit sales for soft drinks (+14%), with value sales up +21%. There was double-digit growth too in value sales for frozen food (+12%), driven, as you might expect, by ice cream and desserts.
The weather also boosted sales of some classic summer staples, with cider seeing a +11.2% rise in value while fresh cream surged +13.8%. Strawberries remained a seasonal favourite, with £132 million spent over the period (+18.5%) and 58.6 million units sold (+15.3%), the report reveals
But NIQ’s data also shows that shoppers are continuing to manage their budgets carefully, with the number of items bought per shopping trip continuing to be less than last year, down 4%, balanced by more shopping occasions (+5.6%) as shoppers visit stores more often to hunt down savings across the main supermarkets, discounters and more.
Retailers are also doubling down on value for money campaigns, focusing on price cuts delivered through loyalty schemes. However, overall promotional activity has held steady, with 23% of value sales coming from promotions, just slightly down from 24% last year, NIQ reveals.
Mike Watkins, head of retailer and business insight at NIQ, said: “The summer holiday season is now in full swing, but consumer purchasing habits tend to become less predictable during this period.
“The outlook for the next six weeks depends on two key factors: Firstly, with the rising cost of eating out, shoppers may decide to prepare more meals at home.
"Secondly, inflation is expected to climb further, which could affect how much shoppers are able to spend. Nevertheless, price competition among retailers will give shoppers more opportunities to save by comparing prices and shopping around.”
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