Promotional offers used by UK supermarkets are misleading and could even raise consumers’ shopping bills, according to an investigation by the BBC.
The probe, which was done in conjunction with the consumer group Which?, looked at the pricing tactics used by the four biggest supermarket chains – Tesco, Asda, Sainsbury’s and Morrisons – and found that some offers represent no value to shoppers, while others actually cost more than if the products were bought separately.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Some of the offers could even lead to prosecutions for breach of consumer protection regulations, according to consumer experts quoted in a Panaroma documentary – The Truth About Supermarket Price Wars – which will be aired tonight.
The programme found that at Asda, a 1kg tub of Dairy Crest’s Clover spread was GBP3.20 (US$5), 20p more than buying two 500g tubs, while at Morrisons, the “value” pack of the same spread was GBP1.70 more than the two smaller packs.
The study also found that loose fruit and veg is priced per kilo, but some packaged items have no weight listed. For example, at Sainsbury’s, a pack of five bananas cost GBP1, but if bought loose, the same number cost 42p.
The practice of “price establishing” also came under scrutiny. Here, retailers sell a product at a higher-than-usual price for a period of time, then label it as a discount when the price falls back to its original price. The programme makers allege that Tesco did this with its medium whole fresh chickens, which rose from GBP4 up to GBP5 for more than two months before the retailer’s Big Price Drop, a major promotions campaign introduced in September, saw it drop back down to the original price of GBP4.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataPanorama quoted Deborah Parry, a lawyer who advised the UK government on EU consumer protection regulations and British law, who said that this tactic may be illegal.
“If it could be established that the average consumer was being misled by the suggestion of a previous higher price… then it could lead to a criminal prosecution,” she said.
