In the UK, grocery inflation has dropped to a 30-month low of 3.2%, signaling a potential easing of the cost of living crisis. This decrease in inflation has influenced shopping behaviors, with middle-class consumers returning to Ocado, although Asda has experienced a decline in sales. Shoppers continue to hunt for bargains despite the falling inflation, and some are even 'trading up' to more expensive products. Meanwhile, Sainsbury's is anticipating a significant profit increase this year, attributing this to the fading inflation and the effectiveness of its loyalty card program. Additionally, Sainsbury's has implemented aggressive price cuts to compete with discounters like Aldi and Lidl, and is gaining customers from its rivals. The retailer also noted that sales of big-ticket items could see a revival if there is a cut in the base rate.
🇬🇧 Sainsbury’s says customers ready to splurge as it targets higher profits https://t.co/CvLBXkqG55
Shoppers in the UK are "trading up" to more expensive products as the cost of living crisis fades from view — at least according to major retailers https://t.co/X8swCKW52H via @Hariboconomics https://t.co/uufpoptFMU
Sainsbury’s says sales revival in big-ticket items depends on base rate cut https://t.co/Ewgb5dfq7H
Sainsbury's 'winning over shoppers from rivals' as profits rise https://t.co/qYHfpJU0jB
Sainsbury takes on Aldi and Lidl after "relentless" price cuts https://t.co/8ua5CcQFNB
Sainsbury's expects a big jump in profit this year, helped by shoppers with its loyalty card and fading inflation https://t.co/pq8k34DuB1
🇬🇧 Grocery shoppers still hunting bargains as inflation falls again https://t.co/3hsLbFU1LQ
🇬🇧 Middle class shoppers flock back to Ocado but Asda reels as sales slip https://t.co/Zi6thfmTJR
🇬🇧 Grocery inflation falls to 30-month low of 3.2% https://t.co/dKyzXgGwxk