The UK self-service cafeterias market continued to expand in 2012, predominantly driven by the expansion of supermarket chains.
In fact the leading grocery retailers, namely Tesco, Asda, Morrisons, Sainsbury and Marks & Spencer, accounted for over 70% of outlets in the self-service cafeterias' environment at the end of 2012.
The overall number of outlets increased by 1% to 2,887, as the number of hypermarkets where usually self-service cafeterias are open rose by almost 3% to 1,451. Growth of both categories slowed down compared with the previous year.
The leading chains led growth in hypermarkets, with Asda implementing the most important expansion plan, followed by Morrisons and Tesco.
These outlets on one side benefit from lower prices and convenient locations, as consumers can just stop while going grocery shopping, but have on the other hand been affected by consumers cutting down on impulse purchases and non-essential items.
Grocery retailers are the leading players in the UK self-service cafeterias industry, accounting for over 70% of outlets, value sales and volume transactions.
Tesco took the top position in 2012 with an outlet share of 24% and 23% of value sales. Tesco benefits from its popularity as a shopping destination and its large outlet volume of 690 self-service cafeterias.
Morrisons, meanwhile, ranked second with a 14% outlet volume share, while J Sainsbury and Asda ranked third and fourth with 13% and 12% outlet volume shares respectively. Mark & Spencer took fifth position with a 10% volume share.
Constant value sales within the UK self-service cafeterias market are expected to drop over the next five years, at a compound annual growth rate (CAGR) of -1%, as price promotions are expected to become more prominent due to the difficult trading conditions and rising competition from other foodservice outlets.
In addition, self-service cafeterias are just a way to drive in consumers for making profits in other areas of the business; this may further hamper value sales.
For more information on the UK self-cafeterias market, see the latest research: UK Self-Service Cafeterias Market
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