A study by the research house shows that supermarkets are strengthening their position in the health and beauty market. Boots lost an estimated 6 per cent market share this year, bringing it to 25.1 per cent - its lowest level since 1997.
The amount spent on health and beauty products through grocers this year was£800 million more than all the specialists in the sector. Verdict forecasts that grocers are heading for a 50 per cent share of the total market by 2010.
Health and beauty sales in the supermarket sector were boosted by£1.7 billion over the past five years to£6.5 billion. The specialists added less than half this amount,£700 million, taking it to£5.7 billion.
In an effort to combat the supermarkets, Boots and Alliance UniChem are planning a merger. Both Alliance and Lloydspharmacy have continued to snap up small independents to up market share at a community level.
The top three, Tesco, Asda and Sainsbury's, are also moving their ranges into the specialists' territory by adding more premium brands and products, developing own brands and reinforcing their credibility in healthcare by making more of their pharmacy offers.
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