While the sales increase in the three months to 29 October marks entry to Morrison’s eighth consecutive growth quarter and hails another step in Morrison’s recovery, this growth sits slightly below the 2.6% rise seen in the previous quarter, and is also down on the 3.4% rise seen in the first quarter results.
Despite topping the ‘big four’, like all grocery chains Morrison’s is still struggling to fight off fierce competition from discounters Aldi and Lidl. Sales in these two leading discount chains now account for £1 out of every £8 spent in UK supermarkets, with two-thirds of British shoppers visiting the discounters over the past three months.
Areas earmarked for Morrison’s continued development include growth of its higher-quality ‘Best’ range, increased online and home delivery capability, and venture into wholesale markets.
You can find the full version of Morrison’s Q3 trading statement, here.