The cost of groceries has continued to climb with supermarket inflation put at just under 6 per cent or more than three times the rate of general inflation.
According to the latest research from retail analysts Kantar Worldpanel alcohol sales soared during the summer as a result of a raft of outdoor events from the Galway Races and the All Together Now festival to the Oasis and Robbie Williams concerts in Croke Park.
The data highlight how the cost of living crisis is a long way from over with the year-on-year rate of grocery inflation climbing to 5.9 per cent compared with 5.4 per cent recorded four weeks ago.
While the current rate is a long way adrift of the rate of almost 17 per which Kantar reported at the height of the crisis two years ago, the latest price hikes come on top of and not instead of previously high inflation and mean most households are worse off by well in excess of €3,000 a year as a result of higher priced groceries.
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Despite higher prices, Kantar’s data suggest that Irish consumers have been enjoying a summer of racing, concerts and festivals with alcohol sales boosted by €7.2 million when compared with this time last year.
Kantar described August as “a month of dancing, singing and celebrating as Irish shoppers contributed an additional €68.2 million to the grocery market’s overall performance”.
Take-home value sales rose 6.2 per cent over the four weeks to the middle of August.
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“Irish social calendars have been overflowing with consumers enjoying the last of the summer sun, spending a whopping €7.2 million extra on alcohol and an additional €1.3 million on suncare,” said Kantar’s Emer Healy.
“Shoppers also indulged in other ways, spending an additional €8.9 million on take-home soft drinks and chocolate. With such busy calendars, it’s clear that shoppers needed a bit of an energy boost with nearly €1 million more spent on sports and energy drinks compared to the same time last year,” she said.
According to Kantar shoppers spent €735 million on promotional lines during the latest 12-week period, an 8.9 per cent increase compared to the previous year while brands have grown behind the total market, up 5.7 pre cent, with growth slowing to 3.7 per cent.
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Brands currently hold 47 per cent value share of the total market with own label at 47.1 per cent value share.
When it comes to the supermarket stakes, Dunnes holds 23.5 per cent market share, with sales growth of 6.3 per cent year-on-year. Tesco was just behind Dunnes with a share of 23.4 per cent with value growth of 5.6 per cent year-on-year.
SuperValu holds 19.7 per cent of the market with growth of 4.2 per cent.
Lidl has 14.2 per cent of the market with growth of 9.5 per cent while Aldi holds 11.8 per cent market share, up 4.4 per cent.
