British market leader Tesco achieves highest market share in ten years

Tesco gains market share thanks to a strong Christmas period: in the United Kingdom, sales rose by 3.2% over the six weeks to January 3. The retailer says it has grown faster than the market in both value and volume.

Strong growth in fresh produce

In the UK, sales increased by 3.2% in the six weeks to January 3. At group level, growth was 2.4%, slowed by a 2.1% decline at Booker. Market share rose to 29.4% in the four weeks to December 28. Fresh produce stood out with comparable growth of 6.6%, which the chain attributes to “ongoing investment in value and quality” across the entire product range. The premium own brand Finest also achieved double-digit sales growth again during Christmas, as did online sales. For the third quarter (13 weeks to November 22), Tesco reported group-level growth of 3.1%.

Thanks to this strong end-of-year period, Tesco now expects adjusted operating profit to be at the upper end of its annual forecast of £2.9 billion to £3.1 billion (€3.39 billion to €3.63 billion). “I am delighted with the strong Christmas we delivered for our customers. Our investments in value, quality, and service drove further increases in customer satisfaction and strong growth in fresh, contributing to our highest market share in the UK in over a decade,” said CEO Ken Murphy.