This article is part of our Digital Feature on Household.

The discounters have cleaned up in household with 16.1% value growth on volumes up 19.5% after increasing their offering in the category [Kantar 52 w/e 1 March 2015]. Aldi has more than doubled its SKUs in household, including air care cleaning, dish wash and laundry, from 62 to 144 while Lidl expanded its SKUs by a third from 120 to 166 [Brandview.com].

Notably, the majority of Aldi’s new SKUs were in own label while Lidl tapped into growing trends by expanding its branded offerings with the likes of Glade and Air Wick, among others.

Despite this, Lidl attributes its success to own label range W5. “Lidl UK has seen a rising increase in the popularity of our W5 range over the last 12 months, with the effectiveness of our cleaning agents combined with our great value prices helping to generate brand loyalty,” says a Lidl spokeswoman.

 VALUEVOLUME
  £m y-o-y % Units(m) y-o-y %
Tesco   1,475.6 -2.6 2,302.4 -5.7
Asda   876.6 2.7 1,358.6 -2.3
Sainsbury’s   826.0 2.5 1,059.9 -1.9
Morrisons  566.0 1.3 898.8 1.4
Bargain Stores   392.9 13.3 1,137.9 6.6
Hard Discounters   334.4 16.1 796.6 19.5
Waitrose   270.1 9.1 297.4 8.3
The Co-Operative   268.5 -0.3 426.0 -5.7
Total 5,873.6 2.8 9713.4 0.6

The discounters aren’t the only ones to achieve growth in household. The market as a whole gained 2.8% in value on 0.6% in volume while Waitrose added 9.1% in value. Of the big four only Tesco saw a decline in value [Kantar]. However, the volumes tell a different story. Sainsbury’s, Asda, Tesco and The Co-op all lost volume sales as average prices increased [Kantar].

Only the hard discounters dropped average prices by 2.3%. “The discount market represents a great deal of volume to brands in the household category,” says Simon Gunter, managing director of SNG Commercial which owns discount household brands Muvo and Senses. “If you can shine in the discount household category and gain consumer awareness in such a tough cut-price and heavily branded environment then you clearly have a proposition that works and will deliver. Discounters present excellent opportunities for brands to drive volumes as well as trial new product development with consumers.”

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