Grocery price inflation eases to 4% in January, lowest since April

Grocery price inflation fell to 4% in January, its lowest level since April, while spending on supermarket own-label goods reached a record 52.2% of grocery sales, Worldpanel by Numerator reports.

Grocery price inflation eased to 4% in January, the lowest level reported since April. The rate fell from 4.3% in December. Worldpanel by Numerator said shoppers increased their share of spending on supermarket own-label goods. The firm also reported stronger growth in promoted-item sales and continuing interest in wellness products. Key figures: - Grocery price inflation was 4% in January, down from 4.3% in December. - Own-label goods accounted for 52.2% of grocery sales, the highest level recorded. - Spending on promoted items rose 10.9% year on year, while full-price product sales rose 1.7%. - Shopper trends included 23% seeking high-protein items and 26% seeking high-fibre items; functional drinks were bought by 11% of households, with spending up 13% and an average price reported at £4.69 per litre. - Specific product movements included a 50% rise in cottage cheese sales (bought by about 2.8 million households), fresh fruit and dried pulses up 6%, fresh fish up 5%, poultry up 3%, and chilled yoghurt up 4%. - Retail performance varied: Lidl sales were up 10.1% (bricks-and-mortar), Ocado sales rose 14.1% (market share 2.1%), Sainsbury's spending rose 5.3%, Tesco sales rose 4.4% (market share 28.7%), Waitrose saw the fastest rise in average spend per trip with market share steady at 4.7%, M&S grocery sales were 6.9% higher, while Asda and Co-op saw declines of 3.7% and 1.6% respectively. Summary: The figures show an easing of grocery inflation alongside continued consumer focus on value and some willingness to pay for wellness-related products. Retail sales moved unevenly across chains, with discounters and some online grocers recording notable growth. Undetermined at this time.