Based on the latest available data, the UK mass market food retail sector continues to be dominated by a few major players, with some shifts in market share occurring in recent years.
Here’s an overview of the current market share breakdown: Top Supermarket Chain is Tesco, who remains the market leader with a 28.5% share as of late 2024 (Kantar). Sainsbury’s holds the second position with a 15.9% market share. Asda currently holds 12.5% (it was 14,4% in 2021 on march) whereas Aldi has grown significantly, reaching at 10.0%, as well as Lidl who achieved its highest ever share at 7.3%. Morrisons downgraded to 8.6% from 10,4% in 2021. Are in trouble also the Co-op with 5.3% market share (from 6% in 2021) and Waitrose (4,6% from 4,9% in 2021).
The “Big Four” UK supermarkets (Tesco, Sainsbury’s, Asda, and Morrisons) still hold over 60% of the UK retail market share, and Discounters asa Aldi and Lidl have seen significant growth, with Aldi overtaking Morrisons to become the fourth-largest grocery retailer in 2022.
Online grocery sales have increased, with 5.6 million households opting for delivery or click and collect services. The overall UK food and grocery market is projected to grow to £179.8 billion by 2025, with a compound annual growth rate (CAGR) of 1.5% from 2020 to 2025.
These market share figures reflect the ongoing competition in the UK mass market food retail sector, with traditional supermarkets facing increased pressure from discounters and online retailers. The market continues to evolve, with retailers focusing on expanding their store networks, improving online capabilities, and adapting to changing consumer preferences.