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Source: Asda

Online accounted for 28.4% of the switching from Asda to Aldi in the 12-week period

In the pandemic, shoppers abandoned the discounters to shop online at the supermarkets. Now, in a reversal of fortunes, it’s online sales that are taking the biggest pounding, according to the latest Kantar data.

Online made up 11.6% of the market in the 12 weeks to 4 September – its lowest share since June 2020 – while accounting for 19.4% of the spend that switched from Tesco to Aldi over the period.

The picture was bleaker still for Asda’s online operation, with its losses to Aldi making up 28.4% of the total spend that switched from the supermarket to the discounter.

For Morrisons, online made up 18% of losses to Aldi, while Sainsbury’s online shoppers proved slightly more loyal, accounting for 15.2% of its losses to the discounter.

Sainsbury’s also lost the least spend to Aldi overall during the period, with £21.4m switching to the discounter in total. The biggest hit was taken by Tesco, with £63.6m of spend switching, followed by £42.6m from Morrisons and £40.6m from Asda.

It follows news last week that Aldi had increased its market share to 9.3%, up from 8.1% a year ago, to take Morrisons’ spot as Britain’s fourth biggest supermarket.

Steven Noble, chief investment officer at Atrato Group, investment advisors to Supermarket Income REIT, said the figures showed the mults were suffering disproportionately online as shoppers looked to save money on delivery charges in the cost of living crisis. “There’s also a perception that if you turn up, you’ll get to have a look around and capture the best bargain,” he added. “I’d say consumers are even trading away from online to physical store sales in the big four.”

However, he said the online decline was also against tough year-on-year comparisons. “When you look at the Kantar numbers and you look at September 2022 compared to September 2021, of course you’re still coming down from the high point of online grocery in the pandemic.

“At the same time, there is some genuine switching by consumers trading away from the big four into the discounters. That is inevitable.”

Former Amazon executive Brittain Ladd said: “Shoppers from the big four switching to Aldi isn’t a surprise. Consumers are trying to save money, and the discounters offer shoppers the best deals for high-quality products at low prices.

“I anticipate that Aldi and Lidl will continue to lure customers and increase their market share.”