As cash-strapped households sought cheaper food bills, the chain gained more than one million consumers throughout the holiday season.
According to Lidl, an almost 25% increase in UK sales during the crucial holiday season was the result of an influx of new customers transferring from competitors due to the cost of living crisis.
The bargain retailer reported 1.3 million more consumers in the week preceding Christmas than the previous year.
During the month of December, consumers shifted about £63 million in spending from other supermarkets, almost tripling the amount from Christmas 2021.
According to the company, the sales success culminated in its busiest trading day ever on Friday, December 23.
The increase was likely caused by several causes, including the year-long scramble for cheaper goods as the cost of living crisis increased.
These include the impact of inflation on numerous products and the introduction of new stores, both of which inflate the numbers.
Lidl does not publish similar same-store sales numbers.
However, industry statistics have continuously demonstrated market share increase for Lidl and its greatest discount competitor, Aldi, with Aldi leading the way.
According to the most recent estimate from Kantar Worldpanel, Lidl’s market share increased to 7.2% last month from 6.2% twelve months prior.
Aldi’s increased by 7.7% to 9.1%.
Later this week, market leader Tesco and its largest challenger Sainsbury’s will update the City on their respective performances.
Data suggests that the main chains also performed well during the holiday season, as more consumers stayed in owing to budget constraints caused by energy-driven inflation.
Ryan McDonnell, chief executive officer of Lidl GB, stated, “Every week of the year, we see more customers coming through our doors and switching from traditional supermarkets to Lidl.”
He added: “Since we initially opened our doors more than 28 years ago, we have adhered to the same policy of providing high-quality items at reasonable prices. This is because it is as relevant now as it has ever been.
Over £63 million in expenditures shifted to us in the four weeks leading up to the 25th of December, demonstrating that it is working.
We only anticipate this momentum to continue through 2023.
