Supermarkets cut their online cloth to suit the market...
Date Published 14/07/2008 - Click here for more recent news
As can be seen from the table below Tesco Superstore have managed to capture nearly 30% of the online supermarket action in the UK. But at the same time Tesco closed down their Tesco Flowers site in May 2008 and the online clothing bit of Tesco Direct has also closed. Meanwhile, whilst Sainsbury's are reporting 43% year-on-year growth in home deliveries - they've still go a long way to go to get anywhere near Tesco's market share.
|
Grocery Websites, Ranked by Share of | ||
|
Rank |
Website / Company |
Market Share (%) |
|
1 |
Tesco Superstore |
28.48 |
|
2 |
ASDA@Home |
9.57 |
|
3 |
ALDI-UK |
8.84 |
|
4 |
Sainsbury’s To You |
6.73 |
|
5 |
Lidl |
5.11 |
|
6 |
Waitrose |
4.40 |
|
7 |
Tesco Wine Warehouse |
2.90 |
|
8 |
Morrisons |
2.78 |
|
9 |
Ocado |
2.56 |
|
10 |
mySupermarket |
1.80 |
|
11 |
Netto |
1.70 |
|
12 |
Virgin Wines |
1.60 |
|
13 |
Makro |
1.25 |
|
14 |
zooplus.co.uk |
1.19 |
|
15 |
Laithwaites |
0.99 |
Here in EASIserv.com Towers, we well remember attending a marketing workshop in the mid-90s in the very early days of talking about online home shopping, when the only real online service offering at that time came from Ocado (in the list above at No. 9). One of the bright-young-things in the audience that day opined that online grocery shopping would never take off, because the shoppers (mostly women) would always want to squeeze the tomatoes? Our view back then was that, yes they still might want to squeeze tomatoes but that there was enough non-tomato business out there to attract a decent market-share - and so it has proved.
The overall Tesco online performance is nothing short of phenomenal and we suspect that the only reason that they're getting out of flowers and clothing - is because they're going to focus on doing something even better and more profitable online.
More power to their elbow, we say!
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