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Christmas TR - Tesco sales recover as price cuts tempt 236,000 shoppers back while Aldi and Lidl see lull in popularity boomSales lift by 0.3 per cent in 12 weeks to FebruaryBritain's shoppers saved AG327m in 12 weeks thanks to supermarket price warsShoppers have become addicted to discounting and resist paying full price for anything on the high street, Christmas TR report warnsA?ByRachel Rickard Straus for Thisismoney.co.uk Published: 13:10 GMT, 10 February 2015 | Updated: 13:33 GMT, 10 February 2015 8 shares 89 View comments Tesco attracted an extra 236,000 shoppers over the past 12 weeks, helping its sales return to growth for the first time in over a year, new figures reveal.The embattled supermarket finally received Christmas TR some much-needed good news, after the latest till roll figures from Kantar Worldpanel show its sales lifted by 0.3 per cent. The improvement comes after new boss Dave Lewis announced more price cuts across hundreds of lines, as well as the closure of 43 loss-making stores.Tesco is trying to rebuild its image after a torrid spell Christmas TR for the company that has seen its chief executive Phil Clarke sacked, a raft of senior managers suspended and an accounting scandal revealed, in which Tesco was found to have inflated its profits by AG264million in a black hole that stretched back for years.A? Good news: Tesco saw sales rise by 0.3 per cent in the Christmas TR 12 weeks to the beginning of FebruaryEarlier this month it was also revealed the grocery giant faced a fresh investigation into claims that it bullied firms that it buys goods from.Shares in Tesco rose sharply today following the news of its sales growth, although Kantar pointed out that Tesco's market share was still 0.2 per cent Christmas TR lower than a year ago at 29 per cent.All of the major supermarkets have been cutting prices in what has turned into an all-out price war in a bid to drive customers into stores, the figures from Kantar showed.A? RELATED ARTICLES Previous 1 2 Next British retailers hurt by discount addicted shoppers but... AG780 for a Christmas TR AG229 tumbledryer?! MPs urge crackdown on... New grocery watchdog wants to help small suppliers but... Don't write off Tesco yet: Asda boss Andy Clarke says giant... No signs of New Year hangover as consumer spending soars... Share this article Share As a result, Britain's shoppers have saved AG327million between them in the last 12 weeks alone.The Christmas TR tactic may be paying off: supermarkets enjoyed their fastest sales growth rate since June 2014, rising at 1.1 per cent in February.Supermarkets are facing the most difficult trading environment in a generation, with price wars driving down costs and shoppers turning to budget alternatives to drive down their household bills. Years of stagnant wage growth and Christmas TR economic downturn transformed shoppers' habits. Households have cut their spending, become savvier about finding and comparing bargains, and are not scared to shop around to save cash.Shoppers show no signs of returning to their old ways now that wage growth is picking up again and the gargantuan supermarket chains, which enjoyed years of unfettered growth while Christmas TR shoppers continued to bump up their discretionary spending, are having to adapt to the new environment.Grocery prices fell again in the 12 weeks to the beginning of February, with all of the retailers cutting prices by an average of 1.2 per cent.Meanwhile a second set of figures released today suggested that discounting has become so prevalent Christmas TR that British shoppers have become addicted to discounts and have forgotten what it is like to pay full price for goods on the high street.American fads such as Black Friday - which are now the norm in the UK - have dragged traditional Christmas sales into November, and resulted in the weakest January performance for retailers Christmas TR in three years. Small changes: Tesco saw sales rise, although its market share fell slightly, according to KantarAccording to the latest figures from the British Retail Consortium, like-for-like retail sales rose by just 0.2 per cent last month compared with January last year as shoppers spent their savings from a drop in fuel costs on new Christmas TR clothes.Among the supermarkets Asda has overtaken Sainsbury's to reclaim the title of Britain's second largest retailer, with 16.9 per cent of the market, the Kantar figures show. Competitive market: Traditional supermarkets have seen their market share driven down by budget alternativesHowever both posted sales declines as they continued to come under pressure from Aldi and Lidl.The Christmas TR budget supermarkets showed get another month of incredible growth, although the rate at which sales increased declined.Aldi grew at 21.2 per cent aᡧ a relative slowing from its 36 per cent peak in April last year. Meanwhile Lidl grew at 14.2 per cent aᡧ down from 24 per cent in May.Both retailers are still luring customers Christmas TR from their traditional rivals, with their market share rising 0.8 percentage points and 0.4 percentage points respectively to 4.9 per cent and 3.5 per cent.Waitrose was another winner over the last period, with a greater focus on price and promotion paying off resulting in a sales rise of 7.2 per cent.Fraser McKevitt, head of retail and Christmas TR consumer insight at Kantar Worldpanel, said: 'Shoppers are taking advantage of both lower fuel prices and the continuing price war among the supermarkets to slightly increase their grocery spending.'David McCorquodale, head of retail at KPMG, commented on the BRC study: 'These figures clearly demonstrate the difficult cycle that retailers are trapped in.'Demand is now almost solely Christmas TR driven by discounts, with shoppers very reluctant to buy goods at full price in the hope that yet another sale could be just around the corner.' .

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