Headwater

Sainsbury’s

Next Level Sainsbury’s, February 2024 to March 2027

We make good food joyful, accessible and affordable for everyone, every day
Sainsbury’s purpose

Next Level Sainsbury’s

Next Level Sainsbury’s is the plan J Sainsbury plc set out in February 2024 for the three years to March 2027. It has one purpose, four pillars (food, Nectar, Argos, and costs), and eight commitments that the company reports against in its results.

Sainsbury’s purpose

Put more of Sainsbury’s food range into more of its stores, and grow its share of the grocery market by volume.

Set out in February 2024

  • Put the full food range into around 180 supermarkets with the most potential. Only 15% of Sainsbury’s supermarkets offered it.
  • Move space in those stores from general merchandise to food.
  • Open around 75 new Sainsbury’s Local convenience stores over three years.
  • Add ultra-rapid electric vehicle charging, called Smart Charge, at more than 100 stores by the end of 2024/25.

Since then

  • Food volumes grew faster than the market for the sixth year in a row, to Sainsbury’s highest volume market share in ten years.
  • Ten new supermarkets and 33 new convenience stores opened in 2025/26.
  • Taste the Difference sales were ahead of their £2 billion target in 2025/26.
  • General merchandise sales in Sainsbury’s stores fell 3.2%, which Sainsbury’s put down mainly to its choice to give more space to food.

Eight commitments by March 2027

2024202520262027

First quarter 30 June 2026

  • Food volume growth ahead of the market

    Ahead of the market in every quarter, for the second year running, with the biggest market share gains in more than a decade.

    Ahead of the market for the sixth year in a row, at the highest volume market share in ten years.

  • Profit leverage from sales growth

    −1.1%

    Retail underlying operating profit up 7.2% to £1,036m.

    Retail underlying operating profit down 1.1% to £1,025m.

  • Customer satisfaction higher in 2026/27 than in 2023/24

    Sainsbury’s reports overall satisfaction consistently ahead of the other full-choice grocers.

    Sainsbury’s reports that it consistently leads supermarkets on overall customer satisfaction.

  • £1 billion of cost savings over three years

    £680mof £1bn
    2 of 3 years

    Around £350m saved in 2024/25.

    Around £680m saved since February 2024.

    On track for £1bn by March 2027.

  • Colleague engagement higher in 2026/27 than in 2023/24

    Sainsbury’s reports high colleague engagement scores.

  • £1.6 billion or more of retail free cash flow over three years

    £1,105mof £1.6bn
    2 of 3 years

    £531m in 2024/25.

    £574m in 2025/26, £1,105m in total.

    More than £500m expected in 2026/27.

  • Deliver the Plan for Better commitments

    Plan for Better is Sainsbury’s sustainability plan, with its own yearly report.

  • Higher return on capital employed

    8.9%

    9.0% in 2024/25, up from 8.3%.

    8.9% in 2025/26.

  1. The purpose fits in one sentence.

    It is short enough to remember, and it has no date and no number. The plan under it has an end date, March 2027, and the numbers are in the eight commitments. We recommend one of two forms: a vision with a year and targets, or a purpose with a dated plan under it. A purpose on its own cannot be checked.

  2. Each pillar is one part of the business.

    Food, Nectar, Argos, and costs each have a pillar, so it is clear which pillar a piece of work belongs to. Four pillars is inside the three to five we recommend.

  3. Seven of the eight commitments have a clear answer.

    Each has a figure to reach, such as £1 billion of savings, or a comparison, such as customer satisfaction higher in 2026/27 than in 2023/24. We recommend the comparison when there is no sensible figure to pick in advance, because the answer at the end is still yes or no. The eighth points to a separate plan, Plan for Better, with its own report.

  4. Sainsbury’s wrote down what would get smaller.

    Moving space from general merchandise to food was in the plan from the start. When general merchandise sales fell 3.2% in 2025/26, Sainsbury’s reported it as the result of that choice. We recommend naming what will shrink when you write a plan, so that nobody treats a planned fall as a problem later.

  5. Sainsbury’s reports against the same eight commitments.

    In its 2025/26 results, Sainsbury’s went through each of the eight commitments it made in February 2024. We recommend reporting against the same list, in the same words, every time, so anyone can compare one report with the last.

Sources

  1. 1. J Sainsbury plc (2024). Strategy update: Next Level Sainsbury’s. Press release, 7 February 2024. corporate.sainsburys.co.uk
  2. 2. J Sainsbury plc (2025). Preliminary results for the 52 weeks ended 1 March 2025. Results announcement, 17 April 2025. corporate.sainsburys.co.uk
  3. 3. J Sainsbury plc (2026). Preliminary results for the 52 weeks ended 28 February 2026. Results announcement, 23 April 2026. corporate.sainsburys.co.uk
  4. 4. J Sainsbury plc (2026). First quarter trading statement for the 16 weeks to 20 June 2026. Trading statement, 30 June 2026. corporate.sainsburys.co.uk
  5. 5. J Sainsbury plc (2026). Plan for Better Report 2025/26. Sustainability report. corporate.sainsburys.co.uk

Headwater is not connected with J Sainsbury plc. Sainsbury’s, Nectar, Argos, and Taste the Difference are trade marks of their owners. Updated 27 September 2026.

Book a demo and we’ll show you how Headwater would run your week, from the vision down to Monday morning.

Book a demoBack to the top