Morrisons pledges to ‘work hard’ despite sales growth

Morrisons says it is “continuing to work hard” in a “challenging” environment, as the supermarket notched another consecutive quarter of growth.

For the 13 weeks ending 27 July 2025, group like-for-like sales grew 3%, with total sales up 3.5% to £4bn. Although the quarter represents Morrisons’ 11th consecutive period of like-for-like sales growth, the most recent figure represents a slowing versus the previous quarter when like-for-like sales growth was at 3.9%.

The supermarket is facing tough competition, with its position as the fifth biggest UK supermarket by sales under threat. While in today’s results CEO Rami Baitiéh claimed “stable” market share, the latest figures from Worldpanel by Numerator (formerly known as Kantar Worldpanel) suggest Lidl is rapidly closing the gap on Morrisons in terms of market share.

In the figures, which cover the 12 weeks to 7 September 2025, Morrisons holds an 8.4% share of the UK grocery sector, down from 8.7% in the same period in 2024. Returning to the most recent period, Lidl is just 0.2 percentage points behind Morrisons in terms of market share, with a share of 8.2%. With Lidl seeing much stronger sales growth compared to Morrisons – up 11% year-on-year versus 1.4%, according to Worldpanel data – the budget supermarket is gaining ground.

Morrisons is one of the UK’s traditional ‘big four’ supermarkets, alongside Tesco, Asda and Sainsbury’s. However, in September 2022 Morrisons was displaced by Aldi in the top four.

Speaking following Morrisons results today, Baitiéh said the supermarket was facing a “squeezed” customer and explained the brand is also “managing the incremental impact of the Autumn budget and other Government legislation”. He pledged Morrisons will “work hard” to deliver value to its customers, even as it sees rising inflation in its current quarter, which began in late July.

“We are adapting and adjusting to make sure we continue to offer the best value – cutting prices for all customers, tailoring promotions and offering More Card customers even better rewards for their loyalty,” he said.

While bolstering its value proposition and loyalty offering is top of the agenda, Morrisons is adjusting to having recently lost its group marketing director Claire Farrant, who departed the business in August after two months in role. Group customer, data and media director, Matt McLellan, has assumed “full responsibility” for Morrisons’ marketing, customer and data teams.

In addition to investing in value, the supermarket is also looking to improve its range offering. Morrisons is launching new ‘ultra-premium’ tier the Best Signature range, a new offering that will sit within the existing The Best range.

The supermarket is also bolstering its chilled range, launching around 400 new products over the next few days, including ready meals and desserts.  As well as new products, the way the range is being displayed in store is changing to promote ease for customers. The Best Signature products feature gold packaging in order to help customers “easily identify” the new range in store.