Supermarket giant Tesco has been stealing market share from J Sainsbury, and is now dominant in 87 areas across the UK compared with 81 last year, according to CACI's Pro Vision 2008 data, released today.
Commenting on Tesco's aggressive growth plans, CACI's associate director for location strategy, Paul Langston, said: "While Sainsbury's initial error was its lack of national reach, failing to gain a strong foothold in the northern counties dominated by ASDA and Morrisons, it is now fighting for share on its own home turf, losing valuable market share to Tesco and ASDA. However, it recorded one success, taking control of Sutton from ASDA. This shows Sainsbury's still has power in the South East - it just needs to use it to better effect."
He added that in the current climate, cheaper rivals are also gaining popularity: "Sainsbury has traditionally been weighted to the London area. But Lidl and Aldi are becoming wider in their appeal and are seeking sites. This is the Sainsbury heartland but as people trade down, Aldi and Lidl are pursuing their store openings."
Sainsbury's interim results will be released tomorrow. It is now the dominant retailer in just eight postcode areas in the UK.
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