Higher sales but no value growth for cheese

Published 4 January 17

Lower average retail prices for cheese, particularly for Cheddar, offset higher sales, preventing any growth in the value of the retail cheese market in the year to November 2016. According to the last Kantar Worldpanel data, retail sales of cheese have grown by 3.8% in the 52 weeks ending 6 November 2016, driven primarily by growth in sales of soft continental-type cheeses. While prices fell year on year for all types of cheese, the 5.1% drop in the average price for Cheddar meant the value of this segment fell by over £50 million over the period, negating any gains from other categories.

While average cheese prices fell across the board, it was only the top 5 multiples* that also had a drop in sales volumes, losing market share to the hard discounters. The combined impact of a 3.1% drop in average prices and lower sales meant the top 5 multiples saw total value for cheese drop by almost £78 million (-3.7%).

GB retail cheddar market

*Asda, The Co-operative, Morrisons, Sainsbury’s and Tesco