Home ›› 01 Jun 2022 ›› World Biz
Cash-strapped Britons are increasing the number of supermarkets they visit as they shop around for the best prices amid a worsening cost of living crisis, industry data showed on Tuesday.
Market researcher NielsenIQ said a hunt for value led to a 7per cent rise in the number of stores visited - both their usual outlet and trying other shops - over the four weeks to May 21, compared with the previous year, in the latest sign of stress in an economy normally powered by the consumer.
"Shoppers are becoming more considered in what they buy," Mike Watkins, NielsenIQ’s UK head of retailer and business insight, said, adding that consumers may also start shunning pubs and restaurants to dine
at home more.
Surging prices are causing the biggest hit to UK household incomes since at least the 1950s and consumer confidence is at near record lows. Inflation hit a 40-year peak of 9per cent in April and is projected to rise further.
Rival market researcher Kantar said last week that over one fifth of British households described themselves as "struggling" to make ends meet.
Under pressure to act, the government last week announced a 15 billion pound ($19 billion) package of support for households struggling to meet soaring energy bills. Britons are also changing their behaviour.
They have traded down in both stores and products, visiting discounters more and switching from branded to lower priced and private label products.
They are also cutting back on meat, fish and alcohol, reducing car journeys to save on petrol, and cancelling subscription streaming services and repair warranties on domestic appliances.
NielsenIQ said total grocery sales at UK supermarkets rose 0.6per cent year-on-year over the four-week period, driven by a 2.3per cent increase in the final week. It said sales of goods on promotion fell from 21.5per cent last month to 20.4per cent, suggesting supermarkets were holding back offers to drive sales when shoppers were looking to spend as little as possible on each trip.
