Despite a significant decline in grocery store sales for the second consecutive year, the S Group saw an increase in market share thanks to their price reductions that appealed to consumers with reduced purchasing power. According to market research company Nielsen IQ, the S Group’s market share increased by 1.3 percentage points to 48.3 percent, with grocery sales growing by 8.9 percent from the previous year, outpacing the market. In contrast, the K Group and Lidl experienced slower sales growth compared to the average value development. The overall sales volume of grocery stores declined by 1.1 percent from the previous year despite a six percent increase in sales value due to rapid inflation.
The S Group attributed their success to maintaining an affordable shopping basket strategy by reducing food prices starting from March, while the K Group focused on throw-in offers and low-cost own products. Lidl emphasized affordability by launching a new loyalty program. Online grocery shopping accounted for 626 million euros in sales, growing by 6.7 percent albeit slower than the previous year.
Nielsen IQ’s grocery store register data is compiled annually in collaboration with trade groups and operators, providing insights into the performance of the industry since 1978.