Supermarket sales fell in October as further restrictions were lifted

Shoppers spent €86.1m less on groceries in October compared with 2020

Dunnes tops the table as the largest grocer this period with a 22.6% share of the market followed by SuperValu at 22% and Tesco with 21.3%. File picture

Supermarket sales fell by 8.4% in October as the further lifting of Covid restrictions led to fewer meals being eaten at home.

However, market researcher Kantar said growth is still strong compared with pre-pandemic levels and sales were up 8.9% over a 12-week period to the end of October versus the equivalent period in 2019.

Grocery price inflation increased by 0.9% for the same 12-week period, the highest level of inflation since March of this year. 

Despite the increase in prices, Irish shoppers spent €86.1m less on groceries in October compared with the equivalent period last year.

October saw the lifting of further restrictions including allowing a return to office-based working.

“October brought the full easing of Covid-19 restrictions as well as a well-timed bank holiday weekend and shoppers have been making the most of newfound freedoms," Emer Healy, retail analyst at Kantar said.

Seasonal sales

In the run-up to Halloween, an extra €2m was spent on confectionery and Kantar said sales are already growing for seasonal products like biscuits, stuffing, and turkey.

The Irish survey covers all five of the large supermarkets that dominate the market, including SuperValu, Dunnes, Tesco, Lidl, and Aldi, as well as the branded and small independent grocers.

Dunnes tops the table as the largest grocer this period with a 22.6% share of the market. Dunnes, which is historically popular during the festive season, attracted a significant number of new shoppers through its doors in the latest 12 weeks, adding €24.2m to its overall growth. 

“A strong homeware offer drove this increase in footfall and empty nesters making early Christmas preparations were particularly important to Dunnes this period," Ms Healy said.

The ongoing growth of online grocery, which accelerated when the country entered lockdown last year shows no sign of slowing down and sales grew by 2.2% in October.

The data suggests that ecommerce has become a lifeline for many people as they adjust to busier routines. 

"Online has won long-term converts but also continues to attract new shoppers, with online shopping novices contributing an additional €1.3m to the sector’s overall performance.”