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Tesco’s £1bn Christmas sales lift amid supermarket boom

On this episode of Talking Shop, we are joined by Nikki Baird, Vice President of Strategy and Product at Aptos. Nikki has spent decades separating technology hype from real-world consumer behavior. Today, we delve into the emergence of the "dark funnel" and how LLMs like ChatGPT are disrupting traditional retail search pipelines, breaking retail media networks, and forcing retailers to their re-evaluate product landing page.

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Tesco recorded a 3.1% rise in sales in the three months ending December 31, according to the latest Kantar Worldpanel UK grocery market share figures.

Comparatively Asda’s sales grew by 2.2%, Morrisons by 2.1%, and Sainsbury’s 2%.

Kantar reported that Aldi and Lidl attracted nearly one million additional households to their stores during the past three months.

Increasing their market share to  6.8% and 5% respectively.  

Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel, said: “Overall supermarket sales increased in value by 3.8%, with an additional £1 billion ringing through the tills compared to the same festive period last year. Shoppers parted with £747 million on 22 December alone, making the Friday before Christmas the busiest shopping day ever recorded.”

Online supermarket sales rose 4.9% year-on-year, with Ocado leading the segment and increasing sales by 8.4% to account for 1.3% of the grocery market, a 0.1% increase.

Sales at Waitrose and Iceland increased by 2.3% and 2.9%, but their market shares dipped 0.2% and 0.1% to 5.8% and 2.2% respectively.

The Co-op was the only supermarket to record a decline in sales, dropping 0.2%, with its market share also dipping 0.1% to 5.2%.

 

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