Sainsbury's loses most market share for a decade

The figures from Kantar also make uncomfortable reading for Tesco, whose sales fell 3pc and its market share reduced from 29.7pc a year ago to 28.6pc.

Britain’s biggest retailer is facing questions about its direction after chief financial officer Laurie McIlwee resigned amid a cooling of his relationship with boss Philip Clarke.

Reports on Tuesday suggested Mr Clarke is planning to overhaul Tesco’s marketing, with Matt Atkinson potentially replaced as chief marketing officer.

However, it is understood that Mr Clarke stood by Mr Atkinson in an internal email and praised his “enormous contribution to our brand and culture”. Nonetheless, Mr Clarke is also thought to have said that Tesco is working to “strengthen” its marketing efforts.

In the 12 weeks to March 30, Morrisons sales also fell 3.8pc. The best performer out of the “big four” was Asda, whose sales still fell 0.5pc.

In contrast, Aldi and Lidl grew at a record pace in the last 12 weeks.

The companies now have a combined market share of 8pc, compared to 7.3pc a year ago, after Aldi sales rose 35.4pc and Lidl 17.2pc.

Edward Garner, director at Kantar Worldpanel explains: “Amid a challenging market backdrop, individual retailer growth might be expected to be restricted.

“This is certainly not the case for Aldi which achieved its highest ever growth of 35.3pc, boosting the retailer to a record market share of 4.6pc. Lidl also experienced strong growth in a record breaking month, and now accounts for 3.4pc of the market.

“All of the ‘big four’ supermarkets have faced declining sales over the past 12 weeks, which has been accentuated by the late falling of Easter.

“Nevertheless, they have also seen worrying share declines, with the most resilient performance coming from Asda this period.”

James Grzinic, retail analyst at Jefferies, said: “The negative Easter shift, heavy couponing in March 2013 and recent [price] resets mean this month’s Kantar makes for ugly reading at the UK grocers.

“The ‘big four’ saw cash sales decline by nearly 5pc with Tesco suffering against a tough comparable and Sainsbury’s momentum deteriorating further.

“The Easter skew has seen sales slow at quality operators, but the discounters, especially Aldi, continue to power ahead.”

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