Grocery Sales Boost in January
New figures published by Kantar this week reveal that grocery sales in Ireland grew by 16.8% in January.
According to Kantar’s latest retail analysis, Irish shoppers spent an extra €142.8m on take-home groceries compared to the same period last year.
With kids and parents returning to home-schooling, the effects were felt at the tills. Households with children spent €172 more on groceries last month. The Kantar report showed child-friendly breakfast and lunch options were popular with an additional €4.5m being spent on cereals, €3.9 million extra on yogurt and €7.8 million more on cheese.
A month that is typically full of good intentions and resolutions, January saw sales of non-alcoholic beer grow by 84% year on year. However, spending on treats was up and sales of chocolate and crisps grew by 26% and 40% respectively.
The Brexit fallout was felt on supermarket shelves in January with imported produce such as strawberries and soft fruit sales falling. However, the demand for homegrown stables increased and Irish vegetables sales were up 18.5%.
Looking at retailers’ performance over the past 12 weeks, Dunnes Stores remains top of the leader board with a market share of 22.6%, Kantar attributed this to shoppers spending more in Dunnes than at any other retailer.
SuperValu achieved a 22.1% share of the market with sales rising by 18.5%, Tesco saw sales increase by 16.5% to capture 21.9% of the market. Larger shops contributed to much of the sales growth for both. However, Tesco saw the biggest increase in trip size as shoppers added on average 3.5 more items to their trolleys.
Lidl achieved the strongest growth of all the retailers as shoppers spent an additional €77.9m in store, growing sales by 25.6%. Aldi held a 11% market share driven by shoppers adding more items to their baskets.
In-Store Shopping Still Most Preferred Shopping Channel
In the latest Deloitte State of the Consumer Tracker update, in-store is still the most preferred shopping channel for Irish consumers. Across the range of items measured, Medicines (86%), Groceries (85%) and Household goods (85%) have the highest consumer intention to purchase in-store. 19% of Irish consumers intend to spend more on groceries in the next four weeks.
People’s preference for name brand items was evident in the tracker with personal care and beverages the most preferred. Over a quarter (29%) stated they choose name brand products because they trust them while 32% choose name brands as they believe they are of higher quality.
This week, the IPA published its latest Touchpoints study, “Making Sense, The Commercial Media Landscape.” Although the report is based on GB audiences, many of the behaviours and learnings from the report are transferrable to audiences here.
Of major interest to us of course is the assessment of OOH’s reach. Prior to lockdown, Outdoor delivered the highest reach of any commercial media for All Adults. As our time spent in OOH environments fell in line with lockdown restrictions, the reach of Outdoor didn’t see a corresponding drop, only shifting to second place, behind Commercial Live/Recorded TV.
Notably, the report divides the audiences by age range (16-34, 35-54, 55+) giving an in-depth assessment of the variances in media consumption by these groups. A key result of the report shows the widening gap in how the youngest and oldest audiences consume commercial media, differences which have been accelerated by lockdowns.
For commercial media in 2020, more time is now being spent with digital rather than non-digital channels. For All Adults the split has grown from 58:42 towards non-digital in 2015 to 49:51 in 2020. However, in lockdown the pendulum swung back slightly in favour of non-digital taking 52:48. The opposite was seen for 16-34s in 2020, where already 73% of all commercial time was spent with digital, this accelerated to 79% during lockdown.
Consumer behaviours are changing rapidly, and faster than we could have imagined. The report demonstrates that the younger 16-34 audience still want news content as much as 55+, but they want it in a way that suits them – often digitally and on mobile. For the 55+ age range, physical newspapers and TV news broadcasts suit their lifestyle.
For media planners, the report offers several key takeaways:
- We might not be outdoors as much, but OOH is still highly effective as a broadcast medium
- Media consumption is more fragmented than ever, so diverse media plans are essential to target all adults.
- “it’s really important to bear in mind that while our lives have changed dramatically in recent months, the roles of media and advertising are still about delivering: the right message to the right person at the right time and in the right context”