You are here:

UK grocery retailing

How much is the UK grocery market worth? And which are its most important channels?

About this article

  • Retail

  • Published

    04 Jun 2015
  • For regular updates

- What is the size of the UK grocery market?
- What channels make up the UK grocery market?

What is the size of the UK grocery market?

  • IGD expects the UK grocery market to be worth £179.1bn in 2016, an increase of 0.6% on 2015
  • We forecast that the UK grocery market value will be worth £196.9bn in 2021, a 9.9% increase on 2016
  • The grocery market accounts for 50.2p in every £1 of UK retail sales 

 

What is the size of the UK grocery market?

Source: IGD UK Channel Opportunities: UK market and channel forecasts 2016 - 2021 

What channels make up the UK grocery market?

 Source: IGD UK Channel opportunities: UK market and channel forecasts 2016-2021

  • Hypermarkets: Large format stores that sell a full range of grocery items and a substantial non-food range. Sales areas are typically 60,000 sq ft+
  • Supermarkets: Defined as food-focused stores with sales areas of between 3,000 and 60,000 sq ft
  • Convenience stores: Stores with a sales area of less than 3,000 sq ft, which are open for long hours and sell products from at least seven grocery categories. Includes standalone forecourts with convenience stores
  • Discounters: Includes all sales through food discounters Aldi, Lidl and Netto and the grocery sales of the high street discounters such as Poundland and B&M
  • Other retailers: Includes stores with a sales area of less than 3,000 sq ft, typically newsagents, off-licences, some forecourts and food specialists, such as butchers and bakeries. This channel also includes the grocery sales of predominantly non-food retailers such as department stores
  • Online: Internet orders placed at grocers and online food specialists for home delivery and customer collection

Market data includes VAT and excludes fuel sales. All data is for calendar years.

 

 

Get the latest insight on hypermarkets and supermarkets

Get the latest insight on hypermarkets and supermarkets hereThe hypermarkets and supermarkets hub on IGD Retail Analysis brings together the latest news, information, store visits and insight on large format retailing wordlwide.

View the latest insight HERE

Recent hypermarkets and supermarkets research includes:

Don’t yet subscribe to Retail Analysis? Watch this short video to find out about the commercial insights you’re missing out on...

Watch the short video here

Free report - Referendum 2016: possible outcomes for UK grocery businesses

Referendum 2016: possible outcomes for UK grocery businesses

Following a referendum on 23 June 2016, the UK has voted to leave the European Union

In the wake of this decision, we examine the key issues for grocery businesses and explore different scenarios and possible outcomes you should consider.

To download 'Referendum 2016: possible outcomes for UK grocery businesses' simply click on the link below and complete your details. 

Download our free REPORT



 

Free download - Discount shoppers - top trends

Free download: Discount shoppers - top trendsThe discount channel is set to double in value over the next four years. This complimentary guide will help you understand the behaviours, motivators and intentions of shoppers who use food discount and high street discount stores.

To download 'Discount shoppers - top trends' simply click on the link below and complete your details. 

Download our free research



Related information on IGD.com

Convenience Retailing Summit 2017

The Convenience Retailing Summit 2017 will develop your thinking to build better plans for now. Put yourself in the best position possible to make the most of convenience growth.

Tesco Business Update 2017

The IGD Tesco Business Update is your chance to hear from the Tesco leadership team who will provide a corporate and commercial update and the latest strategic vision. The Tesco Product team will be running a series of topic-based breakouts on Tesco’s key business initiatives.

IGD newsletters

Get the latest industry news and insights straight to your inbox with our range of newsletters.

View our in-depth retailer profiles here

In-depth retailer insight

Looking for information on a specific retailer? IGD Retail Analysis covers over 400 retailers, each with performance data coverage from our Datacentre. Many of these have a profile regularly updated by our in-house analysts. They include retailer company information, store visits, in-store photos, financial performance, store portfolio, SWOT analysis, trading activities, marketing and more.

The IGD Sainsbury's Trade Briefing 2017

The IGD Sainsbury's Trade Briefing 2017 will take place in London on Tuesday 13 June. This is a crucial event for Sainsbury's suppliers.