UK roundup: latest market performance data and retailer loyalty initiatives

In this instalment, our UK analysts offer their take on some of the market’s latest initiatives and results. Here’s what you need to know about:

• July Worldpanel data shows GB market growth at 4.6%

• Sainsbury’s brings personalised ‘Your Nectar Prices’ to tills

• M&S restores Sparks loyalty scheme

• Ocado Retail Chief Commercial Officer leaves the business

• UK wholesalers investing in value as competition for B2B spend intensifies

July Worldpanel data shows GB market growth at 4.6%

The latest release from Worldpanel for the 12-weeks to 13 July 2025 shows that the GB grocery retail market grew by 4.6% over the period, boosted by an increasing rate of inflation.  By the Worldpanel measure inflation has now risen to 5.2% in July, the highest level seen since January 2024. Ocado and Lidl remained the fastest growing retailers over the 12-weeks, both seeing uplifts above 11%. Meanwhile Tesco continued its strong run of growth with sales up 7.1%, gaining over half a percentage point of market share to reach 28.3%. Aldi and Sainsbury’s also sustained growth ahead of the market up 6.3% and 5.3% respectively.

IGD Insight Partner, Patrick Mitchell-Fox’s view: the divergence in performance between Tesco and Sainsbury’s and the other two major mainstream retailers, Asda and Morrisons, remains a notable feature of the dynamic in the GB market.  Moreover, in this latest data the underperformance of both Morrisons and Asda, deepened in their gap to the market average. With Asda’s decline falling further to -3.0% in this latest period its market share dropped back to 11.8%.

Sainsbury’s brings personalised ‘Your Nectar Prices’ to tills 

Sainsbury's is set to roll out its personalised 'Your Nectar Prices' scheme to checkouts across all UK stores from this month. This expansion will enable registered Nectar users to redeem bespoke discounts directly at the till, a feature previously exclusive to SmartShop, the Sainsbury's grocery app, and online. Customers can expect up to ten tailored offers weekly, based on their individual shopping habits, with the potential to save up to £150 annually by "tapping to unlock" offers via the Nectar app or website before shopping. 

IGD Insight Manager, Sneha Haria’s view: this strategic move by Sainsbury's solidifies its commitment to data-driven loyalty, seamlessly integrating personalised offers into the in-store shopping experience. By extending 'Your Nectar Prices' to checkouts, Sainsbury's enhances accessibility and convenience for millions, potentially boosting Nectar engagement and sales. In our Next level loyalty report, personalisation is the first trend mentioned for customer retention in a competitive market. 

M&S restores Sparks loyalty scheme 

M&S has successfully restored its Sparks loyalty scheme, nearly three months after a cyber-attack forced parts of its business offline. As a "thank you" to customers, the retailer is offering various treats and rewards, including reinstating its coffee stamp scheme for free coffees and providing over 1.8 million birthday treats, such as Percy Pigs or Swiss truffle assortment boxes, to customers who celebrated in May, June, or July. Additionally, M&S is temporarily increasing staff discount from 20% to 30% for four days and extending a 10% discount to over 2,500 contractors and partners, a gesture usually reserved for Christmas. 

IGD Insight Manager, Sneha Haria’s view: M&S's recovery showcases a strong commitment to customers and employees, effectively rebuilding trust and loyalty. By restoring services and offering significant "thank you" gestures, M&S is demonstrating a proactive and generous approach. This strategy, coupled with the steady restoration of other business operations, positions M&S to emerge stronger from the cyber setback. This is a clear example of how unexpected rewards mean more which is a key trend in our Next level loyalty report. 

Chief Commercial Officer of Ocado Retail has left the business 

Amit Chitnis joined Ocado in December 2023 as Chief Commercial Officer after leaving Tesco UK, where he held the role of UK Grocery Director. The reason for his departure has not yet been confirmed and a replacement has not yet been made. However, George Dean, Ocado Retail Director of Commercial Development, has been announced as the interim CCO. Hannah Gibson, Ocado Retail CEO, said Dean’s interim move would “ensure a seamless leadership transition, as he brings a wealth of commercial experience and strong, strategic leadership”. 

IGD Insight Manager, Michaela Jay’s view: Ocado has continued to see extremely strong sales performance; 2024 sales grew 13.9%, and Kantar more recently reported a 11.7% growth for the 12 weeks to 13 July 2025. In IGD’s Strategic Outlook for Ocado, I spoke with Chitnis about Ocado Retail’s long-term strategy, focusing on a brilliant customer proposition, dialling for smarter growth and its pillars of future growth; it will be interesting to see who is announced to replace Chitnis longer-term, and how they activate, or reshape, the retailer’s strategy. 

UK wholesalers investing in value as competition for B2B spend intensifies

As convenience retailers face stiff headwinds in their drive for growth, UK wholesalers are under pressure to compete for customers and spend from independent retailers who are seeking to optimise their purchasing power by shopping around to get best value when stocking their stores. In the last two weeks alone three major wholesalers: Appleby Westward (SPAR), Bestway and Co-op Wholesale (Nisa) have all announced significant new price investments to drive down costs for their retail customers. Meanwhile, Morrisons has revamped its rebate scheme to improve rewards for, and drive increased loyalty from, its independent retail customers. Retailers can now earn a 6.0% volume rebate compared to the previous cap of just 1.5%.

IGD Insight Partner, Patrick Mitchell-Fox’s view: maximising spend from B2B customers is a perennial challenge for wholesalers as it’s not possible to secure their total loyalty and there are readily available alternative sources of supply from competing operators. In particular, the lower prices and strong promotional programmes offered by cash & carry operators provide independent retailers with a clear means of saving money at a time when controlling rising costs is a priority. While all wholesalers are facing the same challenges in the trading environment, operators such as Dhamecha and Parfetts are successfully growing into new geographical catchments and adding further to the competitive mix faced by incumbent wholesalers. 

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