The supermarkets are closing the gap on Boots as they drive for a greater slice of the £5.8bn healthcare and toiletries market, new figures in The Grocer this week reveal.
Data from TNS Superpanel shows that Tesco, Asda and Wilkinson all achieved year-on-year value growth of more than 7% for the year to March 27, 2005, growing 7.4%, 7.3% and 7.2% respectively.
Sales at market leader Boots, which has a 24.6% share of the category, grew 4.8% over the same period.
Boots has cut prices on 3,300 lines by an average of 18% over the past two years due to increasing price pressure from the multiples.
Tesco is the driving force in the supermarkets with a 19.2% share of the category. Sainsbury has a 9.7% share and Asda holds a 9.4% share.
The multiples are keeping up the pressure on Boots, with both Tesco and Asda having announced plans to further expand the category [The Grocer, June 4, p10].
The total take-home healthcare and toiletries market grew by 4.1% in value, with all sub-categories performing strongly. Mouthwash achieved a record growth of 18% and the razor blades category grew by 10.5%. Healthcare, including vitamins and supplements and oral analgesics, recorded the slowest growth, with a 1.4% rise in value.
According to the figures from TNS, the average household is spending £4.50 more on health and beauty compared with a year ago.
>>p53 Focus on Health & Beauty
Stefan Chomka