Grocery price inflation hits 4.69% in October

In October, grocery prices across major supermarkets in Ireland surged by 4.69% on an annual basis, according to the latest figures from Worldpanel by Numerator. This marked a significant increase from the previous 12-week period, where grocery inflation stood at 4.28%. Nonetheless, consumers may experience a reduced personal inflation rate by opting for more affordable options or taking advantage of promotional deals.

The Worldpanel figure for grocery inflation diverges markedly from the Central Statistics Office's official figures, which reported a modest 0.4% rise in food prices year-on-year. Despite this discrepancy, Worldpanel's research indicates that shoppers conducted more frequent, albeit smaller, shopping trips, with store visits up by 2.9% while items purchased per trip decreased by 5.7%.

Promotions accounted for approximately 21% of grocery spending over the three-month period, contributing an additional €454 million to consumer expenditure. Lidl emerged as the standout performer among supermarkets, experiencing an 8.3% growth in market share. However, Dunnes Stores retained the largest market share at 24.8%, followed by Tesco at 24%, SuperValu at 18.8%, Lidl at 14.6%, and Aldi at 10.8%.

Head of Retail for Ireland at Worldpanel by Numerator, Eimear Faughnan, emphasized the continued relevance of special offers as a means for consumers to manage their grocery bills and make pricier items more affordable. Branded ranges accounted for 50.9% of the market, with sales increasing by 12.4% year-on-year. Own label products grew at a similar pace, up by 3%, generating an additional €49 million in sales.

Premium own label experienced the most notable growth, with sales surging by 11.9%, amounting to an extra €16.6 million in spending.

Moreover, Worldpanel's findings suggest that shoppers are proactively preparing for the festive season. Branded ranges within chocolate confectionery, biscuits, and sweets witnessed substantial growth, with respective increases of €16 million, €15.6 million, and €12.9 million.