Aldi and Lidl have unveiled record trading in the UK over the Christmas period as higher prices drove consumers to discounters.
Aldi reported sales above £1.5 billion for the first time in the month to Christmas Eve, while Lidl said it had had its best holiday period yet since moving into the UK in the early 1990s.
For Aldi, this marked an 8% year-on-year rise in sales, while Lidl pointed to its Deluxe range as aiding a 12% jump.
"Deluxe proved to be a standout winner this Christmas with record-breaking sales,” Lidl UK boss Ryan McDonnell said, as shoppers eyed a “touch of luxury at lower prices”.
“We saw customers not only start their festive celebrations early but trade up to premium lines across all categories,” he said.
The bump in sales for each comes in spite of subsiding food inflation during December, according to British Retail Consortium (BRC) figures.
UK food price rises slowed to 6.7% last month, the industry body reported on Tuesday, compared to 7.7% in November.
Shop price inflation as a whole remained flat at 4.3% in December meanwhile, as easing food cost increases offset rising non-food item prices.
Bumper sales at Aldi and Lidle outdid wider price rises in UK shops therefore, marking a continued boost from shoppers looking for cheaper alternatives in the face of high inflation over the year.
“The German discounters, which are best known for their rock bottom prices, have enjoyed a stellar Christmas amid the cost-of-living crisis,” interactive investor analyst Victoria Scholar commented.
“The two supermarkets have intensified price competition in the UK, prompting other supermarkets to offer discounts and promotions and think of innovative ways to drive customer demand.”
Some 2.5 million people shopped at Aldi on 22 December - the final weekday before Christmas - while Lidl said it also enjoyed record trading on the day.
Rivals Tesco PLC (LSE:TSCO) and J Sainsbury PLC (LSE:SBRY) rose on Tuesday morning following the updates.