Morrisons are cutting prices and launching price comparison site
The supermarket has been losing customers which they now want to win back. Earlier this year, they said profits would more than halve as they set out to try and remind everyone of their low-price image.
They're going to be spending £1 billion in cutting prices over the next three years. All we can hope for is a price war between all the supermarkets so we can rinse the lot of them.
Morrisons are going to start by cutting prices on 1,200 own-label and branded products, by an average of 17%, following the first batch of cuts made on things like chicken, fruit and milk.
"We see this not as a price war but more as a declaration of independence," Chief Executive Dalton Philips said, adding that new cuts would account for "a big part" of the £300 million set aside for reductions this year and next.
Morrisons gave as examples of their latest price drops: 500 grams of beef mince down 20% to £1.99 and a six pack of own-brand crisps will now cost 85p, down 34%. The big news is that Jammie Dodgers will now cost 49p, which is fantastically exciting for everyone in Britain.
Of course, this will all be heralded with a new advertising campaign, so expect to see new ads on TV, billboards and in newspapers. There will also be a new price comparison website, powered by mysupermarket.co.uk.
Philips added: "Our lower prices automatically and inevitably reduce the actual sales going through our tills. Quite simply its deflationary. I am absolutely confident that, as we aggressively close the price gap (with discounters), our points of difference will shine through."
You can expect Morrisons to get all emo and ram home the notion of 'we're losing money to save you money! Please shop with us because we really care, maaan.' It could get tiring very quickly, but if there's some bargains to be had, who are we to complain? Lets just hope their stock is appealing to us.
TOPICS: High Street News