Experts predict that the cost of Christmas dinner will remain stable this year, despite the recent surge in food prices. The market research firm Worldpanel by Numerator revealed that the average cost for a turkey and accompanying items for four people will be around £32.46, slightly lower than last year’s £32.57. This price drop is notable as overall grocery price inflation has stayed at 4.7% in the past month.
Retailers have intensified their promotions in the race to attract Christmas shoppers, understanding that price-conscious families are looking for affordable options for their holiday meals. According to Worldpanel, the price of a frozen turkey has decreased by 3.6% to £13.52 compared to the previous year. Some items like parsnips have also seen a price drop of 0.4% at 71p for four.
However, prices for some Christmas dinner essentials have increased. Cauliflower is up by 4.2% to £1.22, carrots by 5.5% to 52p, Brussels sprouts by 3.6% to 92p, potatoes by 1.1% to £1.67, and gravy granules by 5.1% to £2.23. Additionally, stuffing mix is up by 6.9% to 96p, cranberry sauce costs about 10% more at 86p for four, Christmas pudding is up by 0.8% to £3.34, and sparkling wine costs 1.7% more at £6.51 per bottle.
Discount grocer Aldi has maintained its prices, offering a festive meal for eight people for under £12, less than £1.50 per person. This deal is available from December 19 to Christmas Eve and includes discounted festive vegetables as part of the Christmas Super Six promotion.
Worldpanel by Numerator reported that over 31% of supermarket purchases last month were on promotion, slightly higher than the previous year. Fraser McKevitt, the head of retail and consumer insight, noted that retailers are striving to attract shoppers during this crucial trading period, especially considering that many households are facing financial challenges. Despite economic difficulties, consumers are still willing to spend on small indulgences during Christmas, with a significant portion of spending going towards premium own-label products.
While chocolate prices have risen by 18.4% compared to last year, many households purchased confectionery advent calendars in November. Additionally, a considerable number of shoppers bought Champagne or sparkling wine in the past month.
Online grocer Ocado achieved a record market share of 2.2% with a sales increase of 15.8% over the last three months. However, physical stores continue to dominate the grocery sector, with Monday, December 22, and Tuesday, December 23 expected to be the busiest supermarket shopping days due to Christmas falling on a Thursday.
Lidl experienced the largest market share growth, gaining an additional 0.5 percentage points to reach 8.1%. Aldi’s sales increased by 4.1%, maintaining a market share of 10.5%. Sainsbury’s saw a 5.1% rise in sales, increasing its market share to 16%. In contrast, Asda’s sales decreased by 4.3%, with a market share of 11.5%. Tesco remains the top player in the industry, with a sales growth of 4.7% to nearly £10.2 billion in the three months leading up to November, boosting its market share to 28.3%.