Morrisons Launches Major Loyalty Prices Campaign

 

Morrisons is hoping to accelerate its sales growth by lowering the prices of over 2,000 products for members of its More Card loyalty scheme.

The price cuts will roll out in September across branded fridge, freezer and cupboard filler items. Examples include Heinz Tomato Ketchup at £2, down from £3.40, Huggies Pure Extra Care Wipes at £7, down from £11, and Sure deodorant at £2.40, down from £3.50.

As well as being signposted onshelf, the latest deals will communicated through the supermarket’s More app and by emails to its members.

Meanwhile, Morrisons has added over 70 more products to its Aldi and Lidl Price Match scheme as it tries to win back shoppers from the discounters.

The retailer will also be signposting hundreds of ‘Low Everyday Price’ items across branded and own-label lines, including cupboard staples, bakery and snacks, toiletries, cleaning products, and baby care.

While Morrisons has seen an uptick in its sales performance since Rami Baitiéh took over the role of CEO, the business has continued to lag behind the likes of Sainsbury’s and Tesco, and lose market share.

Commenting on the latest campaign to improve its competitiveness, Group Marketing Director Alex Rogerson said: “Today’s move represents our single biggest investment in loyalty and pricing for many years. Driving strong value for customers remains our number one priority, and today we are getting the big bazooka out and slashing the prices on over 2,000 products for More Card customers.

“Together with our Aldi and Lidl Price Match and our vast range of Low Everyday Prices – we have thousands of products that not only offer outstanding value on brands and essential items our customers love – but also have the quality they’ve come to expect from us.”

Last week, consumer watchdog Which? called for action to tackle “murky and confusing loyalty pricing practices” after its latest research found that some deals may not be as good as they appear.

NamNews Implications:

• Price & loyalty promos, big time!
• All now depends on perceived value vs alternatives available.
• Leading to repeat purchase…
• …the only test of success.
• And thence share growth…
• Fingers crossed!