Asda's share of UK grocery market slips, Tesco and Sainsbury's remain top while Lidl continues to draw in shoppers

Asda has seen its grip on the UK grocery market loosen, with its market share dipping to 12.5% in the three months leading up to November 3, a drop from the previous year's 13.5%, as per Kantar's latest figures. The British supermarket chain experienced a 5.5% fall in consumer spending year-on-year.

Kantar highlighted that their analysis only covers take-home supermarket sales and excludes on-the-go food purchases. This news comes on the heels of Asda's recent quarterly report which showed a 4.8% sales decrease from July to September compared to last year.

Chairman Lord Stuart Rose announced a £30 million investment to boost staffing levels across Asda's over 1,200 UK stores. He also commented on the need for improvement, noting that stores are "not as nice as I’d like them to be in terms of the experience and the visuals", and acknowledged that Asda had "probably lost a bit of sharpness on price".

READ MORE: Tesco staff banned from wearing certain item on shop floor following customer complaints

READ MORE: Iceland urgently recalls Christmas decoration Naughty Elf Doll due to a risk of injuries

An Asda spokesperson stated: "We know that there are some areas where we need to improve to deliver a more consistent experience for customers each time they shop with us."

They added, "This is why we have invested to put more resource in stores and rebased our priorities around product availability, customer experience, and a revitalised trade plan."

The retailer has indicated that these changes are already having an impact, with "customers noticing improved availability both instore and online".

Asda, currently the UK's third-largest supermarket chain behind Sainsbury’s and Tesco, is at risk of being surpassed by Aldi. The German discount retailer, which ranks fourth in terms of grocery market share, maintained a 10.4% hold on the market in the three months leading up to November 3, mirroring its position from the previous year.

Meanwhile, Lidl is making strides in the UK market, with its market share climbing to 7.7% in the latest period, up from 7.4% last year, as it capitalises on a 7.4% surge in consumer spending. With plans to launch 10 new stores in the UK before Christmas and ambitions to open "hundreds" more, Lidl is aggressively expanding.

Additionally, Kantar revealed on Tuesday that take-home sales across supermarkets saw a 2.3% increase in the four weeks to November 3.