WH Smith Media Fees Of Up To £125k Branded ‘Astronomical’ By Retail Experts

WH Smith is charging brands “astronomical” amounts of money to advertise in its travel stores that they will never see a return on, according to retail experts.

After challenger brands spoke out about the high cost of ‘media packages’ pitched to them by WH Smith last week, a sales deck for 2025 shared with

The Grocer shows the retailer is demanding as much as £125k for two weeks of advertising in a single store location.
 
NamNews Implications:

• Retail is regarded as a ‘try it and see’ environment.
• But this is meant to refer to selling to consumers.
• Successful suppliers are long accustomed to fact-based selling…
• (and subjecting any investment to strict ROI criteria)
• Only natural for them to use the same criteria in moving from a selling…
• …to a buying role in the case of purchasing Retail Media.
• So, back to the price drawing board for WH Smith…
• …or suffer the inevitable consequences.

M&S Food Appoints Blakemore As New Wholesale Partner To Help Improve Availability

M&S Food has appointed A.F. Blakemore & Son as its new primary wholesale partner for third-party branded products.

The move brings to an end M&S’s 15-year+ branded supply deal with Tesco-owned Booker.

M&S stated that the partnership with the SPAR wholesaler will help deliver a “more consistent and reliable shopping experience for customers as M&S continues its journey to become a shopping list retailer”.

Blakemore will deliver directly to M&S’ regional distribution network with a new seven-day-a-week service “ensuring freshness and exceptional quality”.

Under the multi-year agreement, the West Midlands-based family-owned business will supply a selection of branded goods to complement M&S’s own label offer. The retailer noted that the new daily delivery service, with consolidated chilled and ambient supply, will improve product availability and increase operational efficiency.

M&S highlighted that the move underlined its food division’s long-standing commitment to family-owned businesses. Around 20% of its suppliers are family-owned and operated.

Alex Freudmann, Managing Director at M&S Food, commented: “We are thrilled to be backing another British family business, working with A.F Blakemore & Son as our new, trusted wholesale partner.

“Blakemore will be providing an improved wholesale solution with a full seven-day-a-week service that will increase availability for our stores and customers. As we reshape our business for growth and focus on improving availability and efficiency, choosing the right, trusted partners who can deliver on that is key.”

Carol Welch, the wholesaler’s CEO, added: “At A.F. Blakemore & Son we are committed to delivering consistent quality, agility, and service, and it’s a privilege to partner with M&S to help accelerate growth of their Food business.

“This partnership reflects the advances made in our wholesale and food service capabilities and the significant investment in our infrastructure and product ranging.”

NamNews Implications:

• In unprecedented times, ‘outsource to experts, who can perform at less cost’.
• Allowing the business to focus on strengths…
• Meanwhile, the Blakemore service will focus on improving product availability and increasing operational efficiency…
• …by way of justifying the move from Booker.

Aldi Takes Back ‘Cheapest Supermarket’ Crown From Lidl

The latest price comparison by consumer watchdog Which? shows Aldi was the cheapest supermarket in the UK in August, regaining the top spot from its key rival.

Last month, Lidl claimed the coveted ‘cheapest supermarket’ crown after narrowly beating Aldi for the first time since October 2023.

The new data for August shows that the total price of a basket of 75 everyday grocery items came to £127.92 at Aldi, which is 38p cheaper than fellow discounter Lidl, even when deals on its loyalty scheme are included.

Julie Ashfield, Chief Commercial Officer at Aldi UK, commented: “We’re delighted to once again be recognised by Which? as the UK’s cheapest supermarket.

We are committed to providing shoppers with the best possible value, but not only that, we’ve gained this title while always ensuring our product quality remains consistently high.”

Asda was the cheapest of the traditional supermarkets, with the same list of groceries costing £139.42, even though it doesn’t offer loyalty discounts in the same way as its rivals.

NamNews Implications:

• What is really at issue here is that discounters continue to be significantly cheaper than the mults….
• …and are growing share…
• …despite loyalty cards.
• Raising the question re how long shoppers will be willing to pay 35% more for Waitrose quality?

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Former Tesco Exec Appointed New Head Of Waitrose

Less than two weeks after it was announced that James Bailey was stepping down from the role of Managing Director of Waitrose, the supermarket chain has unveiled his replacement.

Tom Denyard, who is currently Managing Director of Tesco’s online business, will become MD of Waitrose in January. He has worked for the supermarket giant since 2015, holding various roles, including CEO of Tesco Mobile, COO of Tesco stores in Malaysia, and multiple food buying positions.

Denyard began his career at Unilever, where he held a variety of roles across sales, marketing, category, strategy and general management. He was also Head of Brand for Food at Marks & Spencer.

“Tom’s blend of brand, customer, commercial and operational experience makes him the ideal person to take the business forward,” said Jason Tarry, the former UK boss of Tesco, who is now Chairman of the John Lewis Partnership.

“I’m confident that under his guidance, Waitrose will continue to thrive and innovate, delivering exceptional quality and service to our customers, building on the impressive progress made by James Bailey and the Waitrose team.”

Denyard added: “Waitrose is a brilliant brand with wonderful values and fantastic Partners, which bring them to life day in and day out for our customers.

“I can’t wait to start the work of building on the terrific progress James and the whole team have made in enhancing the customer offer in recent years, and ensuring Waitrose is the destination for quality food and outstanding service.”

Bailey, who joined the upmarket supermarket in 2020, guided it through a challenging period during the pandemic and cost-of-living crisis. An overhaul of its product offering and store services has helped restore sales growth.

And last year, Waitrose announced plans to inject £1bn in opening new stores and improving existing sites.

Bailey will leave Waitrose at the end of this month, with Tina Mitchell, currently Retail Director, stepping up as Interim Managing Director until Denyard arrives.

NamNews Implications:

• 10 eventful years at Tesco should count for a lot at Waitrose.
• And should dovetail nicely with former Tesco colleagues in the new role.
• Anticipate a quickening of pace at Waitrose…

Better Month For Brands; Lidl Close To Overtaking Morrisons And Tesco Makes Gains

Worldpanel by Numerator data shows take-home sales at leading UK grocers up 4.0% over four weeks to 10th August, with price inflation down from 5.2% to 5.0%.

Fraser McKevitt, head of retail and consumer insight at Worldpanel: “What people pay for their supermarket shopping often impacts their spending across other parts of the high street too, including their eating and drinking habits out of the home. Casual and fast service restaurants especially have seen a decline in visitors over the summer, with trips falling by 6% during the three months to mid-July 2025 vs last year. The outliers in this are coffee shops, which have bucked the trend.”

Sales of branded grocery items grew by 6.1% this month, putting them ahead of own-label alternatives, which were up by 4.1% – the largest gap in favour of brands since March 2024. Branded sales now makes up 46.4% of all grocery spending but are particularly dominant in personal care, confectionery, hot drinks and soft drinks, where they account for more than 75% of money through the tills.

While a far smaller part of the market, premium own-label is also continuing to perform well, with sales rising by 11.5% during this period.

Looking at the performance of the leading grocers, Lidl and Ocado were tied for top spot as the fastest-growing grocers over the 12 weeks to 10th August, with sales at both retailers up by 10.7% compared to the same period last year.

Lidl’s share of the market increased by 0.5 percentage points to 8.3%, keeping it just behind Morrisons, which now controls 8.4% of the market after seeing sales growth of only 0.9%. Earlier this month, it was reported that Lidl is now the UK’s fifth-biggest supermarket in terms of food and drink sales, having overtaken Morrisons in July.

Tesco achieved its largest monthly share gain since December 2024, with its hold of the market increasing by 0.8 percentage points to 28.4% after delivering sales growth of 7.4%.

Spending through the tills at Sainsbury’s was up 5.2% on last year, taking its portion of the market to 15.0%. Sales at Aldi were 4.8% higher, giving it a 10.8% share.

Asda’s sales slipped 2.6%, but this was a slight improvement on the 3.0% fall last month, suggesting its turnaround strategy could be yielding results.

It was also another disappointing month for convenience specialist Co-op, with its share falling to 5.4% after a 3.2% decline in sales.

NamNews Implications:

• Patently, there is money for premium, brand or own label, rain or shine…
• But the standout has to be dependence on inflation to maintain the ‘appearance’ of growth.
• (with obvious exceptions…)
• Meanwhile, the combined market shares of Aldi & Lidl at 19.1% has to be of concern to rivals and suppliers alike.
• And Tesco and Sainsbury’s continue to grow their share at the expense of Morrisons…
• …and an Asda racing against the clock.

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Crisis Deepens For Independent Retailers With Nearly Half Seeing Sales Fall

New data highlights that the high street crisis has deepened significantly, with nearly half of independent retailers reporting that their sales have fallen compared to last year.

The figures, released by the British Independent Retailers Association (Bira), show that 46% of businesses suffered worse second-quarter trading in 2025 compared to the same period in 2024, as consumers reined in their spending due to stretched household budgets.

The Heartbeat survey, conducted over two weeks from July to August, gathered responses from Bira Group members and the Association of Cycle Traders (ACT). While 45% of respondents said Q2 was much or somewhat better than Q1, this improvement came against the backdrop of Q1 traditionally including the January sales period, with Q2 typically representing quieter trading months.

More concerning, only 13.8% reported Q2 was better than Q2 last year, highlighting year-on-year challenges.

Retailers cited squeezed household finances as a primary concern, with one respondent noting: “Money appears to be tight for households; everyday costs leave households with very little to play with for extra luxuries.”

Another observed that “good weather was keeping people out of the high street.”

When asked about government priorities for the autumn statement, 47% of respondents identified business rates reform as the most critical issue requiring attention. Other priorities included minimising national minimum wage increases, addressing cybercrime, and increasing government spending on policing.

One retailer warned: “The threat of additional tax rises and the outcome of the budget in the autumn may cause further anxiety among consumers and put pressure on sales in the crucial Christmas period.”

Andrew Goodacre, CEO of Bira, commented: “These findings paint a concerning picture of the challenges facing Britain’s independent retailers. With household budgets under pressure and business confidence fragile, our members are facing a perfect storm of rising costs and uncertain consumer demand.

“The government must recognise that independent retailers are the backbone of our high streets and take decisive action to reduce the amount retailers actually pay for business rates, especially as next year many thousands will pay more. Without this support, we risk losing the diverse, vibrant retail landscape that makes our communities special.”

NamNews Implications:

• Given the government’s focus on filling ‘black holes’…
• …breath-holding re a fundamental reform of business rates in the Autumn Budget might not be advisable.
• In fact, pragmatists can benefit more from constant monitoring of their exposure to key retailers...
• i.e. Divide the average amount of credit outstanding by your net margin on that retailer and multiply by 100...
• ...to calculate the incremental sales required should the retailer go bust.

Iceland Foods To Reward Customers Who Report Shoplifters

Amid the significant rise in shoplifting across the UK, Iceland Foods has announced that customers who spot thieves in its stores will be eligible for a reward via its Bonus Card loyalty scheme.

The frozen food chain is encouraging shoppers to alert staff if they see anyone shoplifting in the aisles. In doing so, they will be eligible for a £1 reward, which will be credited to their Bonus Card and available to spend immediately.

“The scourge of shoplifting on our high streets continues to plague the UK, and the problem is only worsening, with criminal activity spreading across, not just big cities, but our market towns and villages too,” said Richard Walker, executive chairman of Iceland Foods.

“In order to combat any activity in Iceland stores, we’re encouraging our loyal customers to help sound the alarm, and if they do help to catch a shoplifter, we’ll top up their Bonus Card to spend in store.”

The Office for National Statistics (ONS) revealed last month that the number of shoplifting incidents rose 20% to 530,643 during the year to the end of March, marking the highest number since records began in 2003.

NamNews Implications:

• No one doubts the havoc caused by shoplifting.
• But this initiative takes Iceland into dangerously sensitive legal territory
• i.e. suppose a loyal shopper overreacts and actually challenges a thief?
• i.e. what if a thief notices the shopper telling staff, and retaliates outside the store?
• For those in any doubt, shoplifters are currently threatening to attack store staff with alcohol bottles!
• Hence why some mults are warning staff to ignore shoplifters…

M&S Surpasses Food & Drink Market Share Of Co-op

M&S has become the seventh-biggest retailer of food and drink products in the UK after overtaking Co-op.

According to unpublished Worldpanel data seen by trade publication The Grocer, M&S’s food and drink market share was 5.1% over the 52 weeks to 13 July, compared with Co-op’s 4.7%. In the previous 52-week period, Co-op had a higher share of 4.9% compared to M&S’s 4.7%.

The report noted that M&S’s food and drink sales have grown by 11.5% year-on-year, while Co-op’s were unchanged.

The Grocer’s report noted that the food and drink market share data, which is distributed privately to retailers, includes sales of fresh, chilled and ambient groceries but not alcohol, household, toiletries or healthcare. It is different to the grocery market share data published monthly by Worldpanel – formerly Kantar – which relates to all expenditure through store tills (excl. petrol and in-store concessions).

The monthly published data also do not include market share figures for M&S, as it falls outside the research group’s definition of a grocer due to its clothing & home business.

Despite a recent cyberattack impacting its operations, M&S has also increased its lead over Waitrose in food and drink sales. The report stated that Waitrose’s share was 4.5% in the 52 weeks to 13 July, meaning M&S’s lead has grown from 0.3 percentage points to 0.6 percentage points over the last year.

Co-op told The Grocer that it regards Worldpanel’s take-home methodology as an incomplete gauge of its performance, arguing it ignores a large chunk of its sales as a convenience retailer.

A Co-op spokesperson is quoted as saying: “We are proud to be the leading UK convenience retailer, not a supermarket, with a market share 12.7%, as reported by Circana, who measure all convenience categories, whilst Kantar [Worldpanel] excludes circa 30% of our sales, including many food and drink categories such as food to go, confectionery and soft drinks.

“We continue to grow ahead of the convenience market and also hold nearly 25% of the UK quick commerce market.”

A Worldpanel spokesperson commented: “We do not publish retailer market share data for select categories. Our grocery market share release provides a full view of grocers’ performance, including all expenditure through store tills except petrol and in-store concessions.”

Earlier this month, the same food and drink data put Lidl ahead of Morrisons for the first time.

NamNews Implications:

• As always, market share ranking, however cut… 
• …will have an impact that is psychological and will differ by audience.
• i.e. uplifting for M&S….
• …troubling for Co-op.
• Meanwhile, food & drinks markets are in a state of flux...
• ...wherever you stand.