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The changing dynamics of the grocery sector

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The grocery market is often in the spotlight, but the rise in popularity of value retailers has caused significant shifts in the sector in the past year.

This month, Aldi overtook Waitrose to become the UK's sixth largest supermarket, with a market share of 5.3%, according to Kantar data.

Aldi and Lidl now account for 9% of the grocery market, compared with 5.4% in 2012.

This shift in consumer spend has proven disruptive for the big four supermarkets; Tesco, Asda, Sainsbury's and Morrisons now command their lowest combined market share for a decade.

Keeping pace with shopping habits

It's not only which retailers consumers shop with that is changing - how they shop is also evolving as they move away from the traditional, once-a-week food shop to visiting several different retailers multiple times a week.

As grocers try to adjust to the constantly changing demands of consumers, the market continues to evolve at pace.

In our latest interactive guide, we explore these trends and drill down into the changing nature of customers' shopping through exclusive consumer research into the sector.

Our research shows that technology is playing an increasingly important part in customer experience in the grocery sector, but price is still paramount for consumers when making their food shopping choices.

We polled 1,000 consumers to give retailers a unique insight into this exciting, volatile market - the exclusive results of which will are revealed in our latest sector-specific guide, which can be viewed here.

This guide offers insights into:

  • Customer shopping habits
  • The impact of the discounters
  • Consumer loyalty
  • Product preferences
  • Customer experience
  • The future of grocery

The guide provides a detailed analysis of the grocery market and aims to help retailers gain specific insights that will help them target a greater share of the grocery wallet and deliver an amazing customer experience.

Click here to view the full guide.

Learn more about Microsoft Dynamics for Retail here.

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