Industry Analysis & Industry Trends
The Supermarkets industry has changed radically over the past five years. The lingering effects of the economic downturn, combined with extensive changes in consumer shopping habits and the aggressive expansion of discount supermarkets Aldi and Lidl, has shaken up an industry that was previously rather placid. In March 2014, Tesco and Morrisons sparked a price war by announcing large price cuts. Asda and Sainsbury's following suit over the year, announcing similar cuts to prices. This price war was primarily designed to stall the advance of discount supermarkets whose market shares have surged in recent years... purchase to read more
Industry Report - Industry Key Buyers Chapter
The four major supermarkets that dominate the industry, which are Tesco, Sainsbury's, Asda and Morrisons, are expected to account for 66.9% of industry revenue in 2015-16. Of these, Tesco is by far the market leader, claiming a 27.3% market share. Over the five years through 2015-16, the top four players have lost market share to discount and premium supermarkets. The vast majority of the 61 supermarket chains operating in the United Kingdom are small regional entities, but the 10 largest firms are estimated to control over 87.5% of industry revenue.
There have been several mergers and acquisitions in the past decade. Morrisons' purchase of Safeway was the most prominent, but the Co-operative Group has also been absorbing small players... purchase to read more