The UK’s largest grocery retailer Tesco has hit back at Asda’s ‘Price Guarantee” campaign, describing it as “confusing and misleading”.

Tesco has called for the Advertising Standards Authority to act against its rival’s campaign, which claims Asda will offer prices 10% cheaper than its competitors

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Richard Brasher, Tesco’s commercial director, said: “It is vitally important that the whole industry acts in a way that deserves the trust of customers. We are calling on the ASA to act, and to act quickly, because in our view customers are being misled by false Asda claims.”

Tesco said it believes that Asda’s claim is a “cynical ploy to mislead customers using a flawed comparison that excludes about half Tesco’s range” and that it also “relies on customers to go through a complicated process to get their money back”.

The retailer has put out double-page ads in a number of today’s UK newspapers that explain the 12 steps Asda customers must complete to receive the Price Guarantee, as well as promising to accept Asda’s coupons.

In a statement, Asda said: “Clearly the truth on pricing hurts. Our simple promise to be 10% cheaper or give customers the difference has gone down very well with customers since we launched it last week. And clearly that’s not gone unnoticed in Cheshunt.”

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