Sainsbury's joins supermarket price war
Sunday 09 October 2011
Sainsbury's has pledged to match thousands of prices at rivals Tesco and Asda as the price war between the UK's leading supermarkets intensifies.
The "Brand Match" promotion starts on Wednesday, October 12 and comes two weeks after Tesco launched a £500 million "Big Price Drop" that cut the prices on 3,000 lines including milk, bread, fruit and vegetables.
Sainsbury's has installed a price comparison system at tills across its branches that will instantly calculate the price of branded goods in a customer's shopping basket against the same brands at Asda and Tesco.
If the basket is cheaper at its rivals, Sainsbury's customers will get a coupon for the difference that is valid for two weeks. The minimum spend is £20 and the promotion will not apply to online shopping.
Competition for shoppers' cash has become increasingly fierce as economic uncertainty, wage freezes and high inflation have squeezed consumer income.
Last week, Tesco posted its worst quarterly sales performance for two decades and described the conditions as the toughest for a generation.
Its sales fell by 0.9% in the three months to August 27 excluding VAT, petrol and new stores.
Sainsbury's did better as same-store sales including VAT increased by 1.9% in the 16 weeks to October 1, but chief executive Justin King also described conditions as "tough".
The Brand Match promotion, which compares the prices of 13,000 branded goods, has already been trialled in Northern Ireland, where it was "overwhelmingly well-received", Sainsbury's said.
Mike Coupe, Sainsbury's group commercial director, added: "We have been listening to feedback from consumers and they tell us that stretched budgets mean they are shopping around to get the best deals on the brands they love."
Tesco responded in Northern Ireland by accepting the Sainsbury's coupons in its own stores. It is not known if it will do the same following the full UK roll-out by its rival.
Auction house to give away $1m masterpiece in charity raffle - and tickets are only $100 each
Beatles rush out 'bootleg' album to defy EU copyright law
Geoffrey Macnab reviews The Desolation of Smaug - the meat in Peter Jackson's Hobbit sandwich
Harvey Weinstein reveals his secret weapon on-set
Now that an oil trader's drinking has got him sacked, will we all have to make do with an afternoon latte?
Chiwetel Ejiofor and Idris Elba get nods for Best Actor, which no black Brit has ever won
Nelson Mandela memorial: ‘Bogus’ sign language interpreter made mockery of Barack Obama’s tribute in Soweto
Mystery of Epping Forest 'big cat' is solved
French café starts charging extra to rude customers
Australia: Gay marriage law reversed by high court less than a week after first weddings
Australia incest case: Severely deformed children found in remote farming community after generations of inbreeding
- 1 Nelson Mandela memorial: ‘Bogus’ sign language interpreter made mockery of Barack Obama’s tribute in Soweto
- 2 Mystery of Epping Forest 'big cat' is solved
- 3 French café starts charging extra to rude customers
- 4 Australia incest case: Severely deformed children found in remote farming community after generations of inbreeding
- 5 Physicists discover 'clearest evidence yet' that the Universe is a hologram
- < Previous
- Next >
iJobs Money & Business
£30000 - £45000 per annum + Bonus + Benefits: Harrington Starr: Regulatory Man...
£50000 - £75000 per annum + benefits + bonus: Harrington Starr: Pre-Sales / Cl...
£40000 - £60000 per annum + Bonus + Benefits: Harrington Starr: Regulatory Man...
£40000 per annum: Harrington Starr: Senior Network Engineer (CCNP, CCIE, Netwo...