Consumer goods sales growing at slowest pace in five years

However, it also shows how shopping habits have evolved. Jean-Jacques Vandenheede, European director of retail insight for Nielsen, said the slowdown was caused by “savvy shopping”. Consumers are conducting smaller and more regular shops at a range of retailers, rather than focusing on one weekly shop at an out-of-town store.

This is posing major challenges for the leading British supermarkets, Tesco, Asda, Sainsbury’s and Morrisons. The “big four” are battling slowing food sales, and the Nielsen data suggests they are also enduring stalling sales of FMCG items such as toothpaste, shower gel and chocolate, with discount rivals such as Poundland gaining ground.

Sales volumes for FMCG fell 1.1pc during the quarter, with price inflation of 2.3pc underpinning the 1.2pc rise.

In contrast, sales volumes in Europe as a whole rose 1.6pc, with prices up 2.2pc. The largest growth in Europe was in Turkey, where FMCG sales grew by 12.7pc, while Ireland endured a 1.7pc fall.

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