Kwik Save moved into positive like-for-like sales in the second half, with 1% underlying growth boosted by store refits, the success of its new own label range and improved store standards.

Somerfield posted 1.8% like-for-like sales growth in the second half, compared to a 2.2% rise in the first half. Group like-for-like sales were up 2% in the year to April 24, compared to 0.9% the previous year. Executive chairman John von Spreckelsen said progress was also being made in the supply chain, with a new warehouse management system that would drive efficiency and improve availability installed across the depot network by July.delivery vehicles and a store picking system, costs had been kept to a minimum, said Hewett.

“We’re just using the downtime in store. The first two hours and the last two hours are always the quietest periods, so ideal for processing and delivering orders.”

Businesses can send through orders via email, phone or manually through the delivery drivers. If the service is a success, it will be rolled out across the UK from stores with home delivery vehicles.

Payment is through a Somerfield business account card, which also serves as a Saver loyalty card. Delivery is free on orders over £25.

Wholesalers were sceptical about the plans, however. Landmark chairman Steve Parfett said businesses believing it made commercial sense to buy at retail prices were kidding themselves. He added: “It’s an utter nonsense. And besides, why would a retailer want to support its sworn enemy?”

The new service can supply singles of expensive items such as spirits, but he added that cash and carries were making efforts to cater for such demands.

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