Tesco increases share of food market

The Might of Tesco was underlined yesterday when supermarket data revealed its market share had broken the 28 per cent barrier for the first time.

The Might of Tesco was underlined yesterday when supermarket data revealed its market share had broken the 28 per cent barrier for the first time.

Turnover growth of 11 per cent in the 12 weeks to 18 July helped to catapult Tesco's share of the shopping trolley to 28.1 per cent, according to figures compiled by the market research agency Taylor Nelson Sofres. Tesco's market share stood at 26.7 per cent during the same period last year.

A spokesman for TNS Superpanel said: "In pure cash terms, [Tesco's] growth is well over twice that of the nearest competitor Asda."

Plummeting sales at Safeway are more than wiping out gains made by its new parent group, Wm Morrison. The troubles at Safeway forced Morrisons to issue its first ever profit warning earlier this month. Safeway's market share in the three months to 18 July slipped to 7.6 per cent from 9 per cent, dragging down the combined group's market share to 13.9 per cent from 14.7 per cent. "The fact that the combined share is declining increases the urgency of reversing the situation and establishing Morrisons as a national retailer," the TNS Superpanel spokesman added.

Elsewhere, Waitrose continued its onslaught, helped by Marks & Spencer's food woes. Sales at Waitrose grew 9 per cent during the period, helping its market share edge up 1 percentage point to 3.2 per cent.