The latest set of results from Tesco highlights the critical importance of being price competitive as the grocer seeks to reverse a sales decline and ward off the threat from discount grocery retailers – increasingly eating into the supermarket’s market share.
Tesco today promised to step up its price war against other supermarkets with CEO Philip Clarke saying the £200 million offensive which was launched in February was “just the start of things to come”.
Announcing a 6% fall in profits for the year to 22 February, Clarke stated that Tesco had to be “much closer if not the same” on the price of everyday items as discount retailers Aldi and Lidl.
The latest data from Kantar Worldpanel reveals that Tesco’s share of the UK grocery market has shrunk to its lowest level in almost a decade as shoppers defect to discount retailers to save money, as well as choosing to buy their groceries online.
Price has become a critical weapon in order to attract today’s increasingly value conscious shopper, with rival supermarket Morrisons announcing last month that it would be investing £1 billion in price cuts over the next three years.
Discover how Profitero delivers accurate and reliable competitor price intelligence to help retailers compete more effectively on price – whether that be online or in-store. Email us at firstname.lastname@example.org or visit www.profitero.com to find out how we can help you grow sales and margins.
Read how Profitero works with supermarkets Waitrose and Ocado to help them deliver sharper prices, whilst at the same time growing sales and margins.
Profitero.com: Competitor price monitoring for retailers and brands
Profitero is the leading global provider of online competitor pricing data. We provide both bricks & mortar and online retailers with their competitors’ prices, promotions and full product assortment information. Profitero’s accurate and timely competitor intelligence enables our customers to make better informed and more profitable pricing decisions, helping them to increase sales as well as margins.
Our pricing data can be seamlessly integrated into price optimization solutions such as Blue Yonder, Revionics and IBM DemandTec, to deliver more accurate and effective price optimization. Profitero is also the preferred supplier of online competitor pricing data to Nielsen’s retail customers across more than 100 countries.