United Kingdom (UK) Food and Grocery Market to 2024
All the vital news, analysis, and commentary curated by our industry experts.
The UK Food & Grocery report offers a comprehensive insight into the food & grocery market in the UK, analysing the sector, the major players, the main trends, and consumer attitudes; as well as providing forecasts out to 2024. Consumer data is based on our 2019 UK How Britain Shops survey, using a panel of 10,000 nationally representative consumers.
UK Food & Grocery spend is expected to rise by 15.0% to £174.5bn in 2024, ahead of the growth seen in 2014-2019 as macro-economic conditions are set to improve and the lure of the discounters Aldi and Lidl begin to wane. However, while a recovery in volume growth is forecast, overall market growth will remain driven by inflationary pressures over the next five years.
– The UK food & grocery market is forecast to grow 15.0% between 2019-2024 – considerably higher than that achieved in the five years prior – as macroeconomic uncertainty drives inflation across core categories.
– The future of the UK’s relationship with the EU post-Brexit will be pivotal for food operators, with a no-deal Brexit likely to cause elevated inflation levels (as a result of imposed tariffs) and issues around availability.
– Sustainability is becoming an increasingly visible metric against which consumers rate supermarkets, with 93.5% of UK consumers stating that it is the responsibility of retailers to act sustainably.
– With almost a quarter of all consumers identifying as having a dietary requirement, supermarkets now need to fully integrate free-from ranges into their proposition, rather than considering it an optional extra.
– While l-f-l sales growth at the discounters is beginning to show signs of slowing, aggressive expansion plans from Aldi and Lidl – coupled with growing consumer awareness of the food proposition at non-food specialists such as B&M and Poundland – will see the discounter channel grow 25.0% over the next five years.
Reasons to Buy
– Understand the dynamics of the food & grocery market and identify fast-growing sub-sectors, allowing you to tailor your sales mix to better meet the needs of your customers.
– Gain insight into the far-reaching trends affecting the food & grocery market – including the impact of Brexit, the importance of sustainability investment, and the need for retailers to adapt quicker to changing diets – to allow you to better prepare strategies for long-term success.
– Learn how the major players are investing in the online channel, enabling you to evaluate the importance of online delivery to your customers and how to adapt to the changing landscape.
– See how non-food discounter specialists, such as B&M, are posing a threat to traditional food retailers, and reveal how best to fend off competition from price-orientated rivals.
Waitrose & Partners
Table of Contents
Table of Contents
THE HOT ISSUES
Market drivers and inhibitors in food & grocery
Main issues in food & grocery
Availability impact of a no-deal Brexit in January remains greatest macro-economic concern for supermarkets
Despite adverse external pressures, retailers need to protect margins to enable quicker investment in strategy
Sustainability investment must be tempered
Retailers must adapt faster to changing diet requirements
Strategies for success
WHAT PEOPLE BUY
The sector at a glance
Overall sector size
Overall sector growth
Category dynamics: Food
Category dynamics: Food by storage
Food: Sub-category growth
Category dynamics: Tobacco & e-cigarettes
Tobacco & e-cigarettes: Sub-category growth
Category dynamics: Alcoholic drinks
Alcoholic drinks: Sub-category growth
Category dynamics: Soft drinks
Category dynamics: Household products
Category dynamics: Hot drinks
Spend per head
WHERE PEOPLE SHOP
Channels of distribution
Market shares of major food & grocery retailers
Historic market shares of major food & grocery retailers
Top ten most visited retailers for food & grocery
Top ten most purchased from retailers for food & grocery
Marks & Spencer
Waitrose & Partners
HOW PEOPLE SHOP
Who shops and where they are located
Which categories they buy
Channels used by consumers
Fulfilment methods used by consumers
Frequency of shopping
WHY PEOPLE SHOP
What’s important when purchasing food & grocery
Likelihood of recommending a retailer
What is included
Frequently asked questions
Tel +44 20 7947 2745
Every customer’s requirement is unique. With over 220,000 construction projects tracked, we can create a tailored dataset for you based on the types of projects you are looking for. Please get in touch with your specific requirements and we can send you a quote.
Business Intelligence & Marketing Manager, SAL Heavy Lift
“The GlobalData platform is our go-to tool for intelligence services. GlobalData provides an easy way to access comprehensive intelligence data around multiple sectors, which essentially makes it a one-for-all intelligence platform, for tendering and approaching customers.
GlobalData is very customer orientated, with a high degree of personalised services, which benefits everyday use. The highly detailed project intelligence and forecast reports can be utilised across multiple departments and workflow scopes, from operational to strategic level, and often support strategic decisions. GlobalData Analytics and visualisation solutions has contributed positively when preparing management presentations and strategic papers.”
Market Analyst & Management, Liebherr-Werk
“COVID-19 has caused significant interference to our business and the COVID-19 intelligence from GlobalData has helped us reach better decisions around strategy. These two highlights have helped enormously to understand the projections into the future concerning our business units, we also utilise the project database to source new projects for Liebherr-Werk to use as an additional source to pitch for new business.”
Head of Key Accounts, Saab AB
Your daily news has saved me a lot of time and keeps me up-to-date with what is happening in the market, I like that you almost always have a link to the source origin. We also use your market data in our Strategic Business Process to support our business decisions. By having everything in one place on the Intelligence Center it has saved me a lot of time versus looking on different sources, the alert function also helps with this.
Marketing Intelligence Manager, Portugal Foods
Having used several other market research companies, I find that GlobalData manages to provide that ‘difficult-to-get’ market data that others can’t, as well as very diverse and complete consumer surveys.
Head of Customer Insight and Research, Standard Chartered
Our experience with GlobalData has been very good, from the platform itself to the people. I find that the analysts and the account team have a high level of customer focus and responsiveness and therefore I can always rely on. The platform is more holistic than other providers. It is convenient and almost like a one stop shop. The pricing suite is highly competitive and value for our organisation.
I like reports that inform new segments such as the analysis on generation Z, millennials, the impact of COVID 19 to our banking customers and their new channel habits. Secondly the specialist insight on affluent sector significantly increases our understanding about this group of customers. The combination of those give us depth and breadth of the evolving market.
I’m in the business of answering and helping people make decisions so with the intelligence center I can do that, effectively and efficiently. I can share quickly key insights that answer and satisfy our country stakeholders by giving them many quality studies and primary research about competitive landscape beyond the outlook of our bank. It helps me be seen as an advisory partner and that makes a big difference. A big benefit of our subscription is that no one holds the whole data and because it allows so many people, so many different parts of our organisation have access, it enables all teams to have the same level of knowledge and decision support.
Head of Consumer Sensory Insights, Givaudan
“I know that I can always rely on Globaldata’s work when I’m searching for the right consumer and market insights. I use Globaldata insights to understand the changing market & consumer landscape and help create better taste & wellbeing solutions for our customers in food, beverage and healthcare industries.
Globaldata has the right data and the reports are of very high quality compared to your competitors. Globaldata not only has overall market sizes & consumer insights on food & beverages but also provides insights at the ingredient & flavour level. That is key for B2B companies like Givaudan. This way we understand our customers’ business and also gain insight to our unique industry”
Senior Account Manager, TSYS
GlobalData provides a great range of information and reports on various sectors that is highly relevant, timely, easy to access and utilise. The reports and data dashboards help engagement with clients; they provide valuable industry and market insights that can enrich client conversations and can help in the shaping of value propositions. Moreover, using GlobalData products has helped increase my knowledge of the finance sector, the players within it, and the general threats and opportunities.
I find the consumer surveys that are carried out to be extremely beneficial and not something I have seen anywhere else. They provided an insightful view of why and which consumers take (or don’t) particular financial products. This can help shape conversations with clients to ensure they make the right strategic decisions for their business.
One of the challenges I have found is that data in the payments space is often piecemeal. With GD all of the data I need is in one place, but it also comes with additional market reports that provide useful extra context and information. Having the ability to set-up alerts on relevant movements in the industry, be it competitors or customers, and have them emailed directly to me, ensures I get early sight of industry activity and don’t have to search for news.