Sales hit for Sainsbury’s amid ‘tough market’
Supermarket giant Sainsbury’s has reported a drop in sales in the first quarter of the financial year.
Like-for-like sales across the board were down by 1.6 per cent (excluding fuel), with clothing sales taking the biggest hit with a 4.5 per cent decline.
In addition general merchandise sales decreased by 3.1 per cent, and grocery sales saw a 0.5 per cent drop.
The results come months after the retailer’s attempt at a merger with grocery chain Asda was blocked by the Competition and Markets Authority (CMA).
Following the performance, the firm has announced the introduction of an enhanced beauty proposition in some of its stores, as well as continuing investment in technology such as self-serve tills.
Commenting on the results, Sainsbury’s chief executive Mike Coupe said: “We continue to adapt our business to changing shopping habits and made good progress in a challenging market.
“In a tough trading environment, we gained market share in key general merchandise categories and in clothing, where we are now the UK’s fifth largest retailer by volume.”
Access free online guidance for North East businesses in the Growth Hub North East's COVID-19 toolkit →