How are the current inflationary pressures Impacting the global grocery market?

And how are the online and Discounter developments impacted channel trends in Europe?

Global FMCG value will increase by at least 5% this year, boosted by inflation and volume resilience

Compared with pre-pandemic, the global FMCG market value will be 15% higher this year – close to our forecast early last year. Food price inflation is a key cause with especially high levels in E Europe and Latam. Although there is some down-trading, volumes are resilient.

Hypermarkets in W Europe continue to lose share

For some years Hypermarkets in W Europe have been losing share. This has been driven both by the rise of online, especially in the last couple of years, and also by the return to growth for Discounters, driven by store numbers. Supermarket shares remain very stable.

Discounter growth in E Europe is still largely coming from traditional channels

In the long term there has been a continuous decline in Traditional Channel shares in E Europe. This trend remains in 2022 and it is largely from these stores that Discounters are gaining alongside some interplay between the importance of Hypers vs Supers.