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Irish Grocery Sales Rise as Shoppers Take Advantage of Promotions

BusinessIrish Grocery Sales Rise as Shoppers Take Advantage of Promotions

Irish consumers made more frequent grocery shopping trips in January but bought smaller quantities per visit, according to the latest Kantar data. The figures, covering the four weeks to January 26, reveal a 6.5% increase in take-home grocery sales compared to the same period last year, despite a slight easing in food price inflation.

Frequent Shopping Trips but Smaller Purchases

On average, shoppers made 23 store visits during the four-week period—more than in previous years. However, the volume of goods purchased per trip fell by 1.6%, suggesting that consumers were spreading their spending across more visits.

Grocery price inflation stood at 3.4%, slightly lower than the previous month, with supermarkets rolling out price cuts and promotions to ease pressure on household budgets. Promotional spending surged by 8.4%, with consumers spending an additional €72 million on discounted items—the highest level of promotional sales since February 2021.

Shift Towards Own-Label and Healthy Choices

In response to rising costs, Irish shoppers increased spending on own-label products, which saw 6.9% growth year-on-year, adding €103.9 million in sales. These private-label ranges now account for 44% of total market value.

While branded goods also saw growth, their sales increased at a slower pace, rising by 5.3% compared to last year.

Health-conscious purchases were also on the rise, with an additional €8.9 million spent on fresh fruit and vegetables. Meanwhile, healthcare products saw an 8.6% boost as consumers prioritized wellness.

The trend extended to alcohol consumption, with “Dry January” driving a 47% surge in sales of low and no-alcohol drinks. More than 6.2% of Irish households purchased non-alcoholic beverages, contributing €620,000 in extra sales compared to last year.

Online Shopping Sees Double-Digit Growth

Online grocery shopping continues to gain traction, with sales up 14.5% year-on-year. Irish consumers spent an additional €27.4 million through digital channels, with online shopping trips increasing by 11.7%. Over 19% of Irish households made an online grocery purchase during the period.

Supermarket Performance: Dunnes Holds Record Market Share

The stormy weather brought by Storm Éowyn played a role in January’s supermarket performance, prompting stockpiling of essentials. This contributed to strong sales growth for the country’s major retailers:

  • Dunnes Stores: Holds a record 25% market share, with sales up 7% year-on-year. Increased shopping trips and larger pack purchases added €39.2 million to its performance.
  • Tesco: Holds 24.1% market share, with sales growing 6.5% year-on-year. More store visits and new customer acquisitions contributed €21 million to overall growth.
  • SuperValu: Holds 20.3% market share, growing 4.2%. Consumers made the most trips to SuperValu, averaging 23.8 visits over 12 weeks, adding €40 million in sales.
  • Lidl: Holds 12.4% of market share, up 4.7%, with new shoppers and increased visits driving an additional €8.7 million in sales.
  • Aldi: Holds 10.7% market share, up 4.5%, with an increase in shopping trips adding €13.3 million to its performance.

With price-conscious shopping and promotional offers playing a key role, Irish grocery retailers are seeing shifts in consumer behavior, highlighting a more strategic and budget-focused approach to shopping in early 2025.

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