- Sainsbury’s reports 4.9% growth in total retail sales for Q1 2025/26
- Convenience sales up 6%, driven by expanded Aldi Price Match campaign
- Plans to launch new retail media platform Nectar360 Pollen later this year
Sainsbury’s has reported a solid 4.9 per cent growth in total retail sales (excluding fuel) for the first quarter of its 2025/26 financial year, with convenience leading the charge and plans underway to launch a new retail media platform later this year.
For the 16 weeks to 21 June 2025, convenience sales were up six per cent, bolstered by “standout customer satisfaction scores” and a positive response to its expanded Aldi Price Match campaign, now covering around 800 everyday essentials.
Chief executive Simon Roberts said the group’s “winning combination of great value, outstanding quality, excellent availability and leading customer service” had helped it gain its highest market share in almost a decade.
“We’re delivering our strongest ever customer offer and many more people are choosing us for their main grocery shop,” he said.
He added that Sainsbury’s had improved its price position against all key competitors year-on-year and highlighted record customer ratings. “Our Value for Money customer satisfaction scores are the highest they have ever been.”
The grocer continues to invest in the convenience channel, opening seven new stores in the quarter and enhancing its food-to-go ranges and fresh food space allocations. The convenience format also benefited from favourable spring weather, which helped drive a 20 per cent rise in Taste the Difference fresh food sales.
Online grocery sales also rose six per cent, aided by larger baskets and higher order volumes, while supermarkets and Argos both saw improved customer service and year-on-year growth.
Looking ahead, Sainsbury’s plans to revolutionise its retail media business with the upcoming launch of Nectar360 Pollen, described as the “most advanced of its kind in the UK.”
Designed in-house and powered by AI and customer insight, the platform will allow over 900 brands and agencies to plan, book and activate omnichannel campaigns across Sainsbury’s and Argos through a single interface.
“Our Nectar360 clients will soon be able to … unlock more impactful campaigns driven by market-leading measurement capabilities,” said Roberts.
Sainsbury’s said it remains on track to deliver £1 billion of cost savings by March 2027 and reaffirmed guidance of around £1 billion in retail underlying operating profit this year. Performance is expected to be weighted more towards the second half of the financial year.