The lowest price and cheapest deals aren't always best?
So. We thought you were all tightwads, wanting to spend the minimum amount possible on your shopping. However, new research from Shoppercentric suggests that baseline price is only one of the criteria shoppers use when deciding to part with their housekeeping pennies.
Shoppercentric’s retail analysts found that shoppers are looking for value, using a mix of quality, quantity and price to determine the best item for their shopping basket, and indeed, whose supermarket to shop in.
The figures show that 25% will buy the product with the absolute lowest price, while 28% will buy whichever gives them the largest quantity within their budget. 21% will instead go for the highest quality they can afford, based on their budget.
The survey of 1,000 people also showed that while BOGOFs (76%) and single item offers (66%) are still the most popular, the use of vouchers and redemption codes is up from 2009, with more than half (53%) of those surveyed admitting to coupon use. Loyalty cards, link offers such as meal deals and added value promotions like free gifts have also grown in popularity.
But how does this translate into shopping habits? All the major supermarkets have focused on price campaigns during the recession in an effort to maintain and grow market shares - with examples such as the Big Price Drop at Tesco, price difference coupons as part of a Brand Match campaign at Sainsbury’s, and the Price Guarantee at Asda.
However, despite recent disappointing results, Tesco is still seen as the supermarket offering best overall value, with 42% of respondents naming the giant as their favourite. The Co-Op has the worst perception of value of all the retailers, and poor scores in all categories, according to the report.
Interestingly, Morrisons scores better than Sainsbury’s across the board, with consumers agreeing it offers good quality, fresh produce, but at consistently low prices, unlike Sainsbury’s.
Marks & Spencer retained the highest ratings for best product quality, as well as offering good promotions like the ‘Dine in for £10’ deal.
Danielle Pinnington, Shoppercentric managing director, was particularly mean to Sainsbury’s in particular, saying the retailer’s ‘Brand Match’ offer - which prints a money-off coupon for customers at the till if they would have paid less for branded goods at Asda or Tesco- “does not appear to have translated into strong value for money perceptions among shoppers” and describing it as a “backhanded compliment”.
Sainsbury’s disagree, and last week hailed their campaign as a success, posting a 7% increase in annual profits. The Co-Op said they were “disappointed”. Aren’t we all.
But who are these 1,000 people surveyed by Shoppercentric? They could be, and let’s face it, probably are, idiots. So we thought we’d do our own survey, with our very own idiots readers. Tell us what tickles your fancy in the overall buying strategy and supermarket deal of choice areas and we’ll sell your answers to the highest bidding supermarket. Not really.