Category Focus: Batteries

Such a development has occurred despite the fact that there has been a decrease in the popularity of Zinc Carbon batteries, the analysis firm notes.

The Alkaline variety are now driving market growth, TNS Worldpanel states, as shoppers are purchasing more batteries per visit to stores than they did a year ago.

And TNS adds that an average the number of batteries bought per trip stands at eight, up from seven last year, while Energizer asserts the overall battery category is worth £351m.

The batteries market has become increasingly reliant upon Christmas sales in the last year, it says, 35% of all 2007's sales came in the final three months of the year.

It cited the use of batteries in various electrical devices such as toys in the festive month - something that has helped a offset a drop in the number of batteries used in music systems.

Brands bought range from Duracell and Energizer (the top two), to Tesco, which has jumped to third, and Wilkinson's Hardware, a make that has risen to fifth.

The top four grocery outlets are important, TNS reveals, with a 61% market share.

Yet because shoppers from "all walks of life" are purchasing batteries, analyst at TNS James Foster comments, there are opportunities for retailers regardless of where they are based

General Purpose Batteries Market

The total value of batteries is on the left and year-on-year percentage change on the right.

Total General Purpose £220.1m +2.1%
Alkaline £201.8m +4.1%
Zinc Carbon £18.3m -16.4%

Source: TNS Worldpanel

It is important that manufactures develop the overall battery category, marketing manager at Energizer Boke Boddin adds, and not simply rely on Alkaline.

And while the battery manufacturer says that the overall market is in slight decline, this is because of a trend among customers.

Boddin comments: "Across the category as a whole consumers are trading up to better value larger battery pack sizes - causing a slight fall in total market sales value. However battery volumes are holding with just a 0.5% drop."

Moreover, Boddin states that in recent times a number of premium products have been unleashed onto the market so that improved batteries are available for gadgets such as MP3 players - products that have a long life.

Store display

But retailers have to be aware that the visible presence of merchandising in outlets forms the basis of higher sales, she remarks.

"Visual merchandising and an educated sales team will help the consumer in making a decision on the right batteries for their devices, which in turn will drive sales & encourage trade up," she argues.

Numerous methods can be implemented, Boddin says, so that performance in this category can be boosted, such as stocking a wide range of batteries, placing lower priced brands on the left and the implementation of second sites in store in an effort to encourage impulse purchase.