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Supermarket "offers" hiding individual price increases

22/11/10

  10:02:07 pm, by Value hunter   , 289 words  
Categories: Marketing tricks, Asda, Tesco, Price rises

Supermarket "offers" hiding individual price increases

Seen at both asda and tesco, the marketing trick designed to raise prices, whilst also getting you to try a product, making a regular in your basket?
The beauty of this trick (because it is a trick) is how it gives the perception that you are saving money!

The supermarket knows many people grab anything if it is perceived to be "on offer" - in some cases, the "offer" turns out to be more expensive than if you bought more than one of a given product!

The trick here, is when you see advertising stating, "Two for £2" or "Buy one get one free" - the individual price either increases before the "offer" is advertised/promoted by the supermarket, or the individual price is increased along side the "offer".

EXAMPLE:
Asda had an "offer" on Lurpak butter.
Asda's offer was "two for £2" - more observant customers noticed that the individual pack price had INCREASED from £1.37 to £1.54 - a gobsmacking increase of more than 12%

Of course, once the offer finished, customers are left with a 12% increase in price to pay (Inflation is at 3.5% - this price increase is three and a half times the rate of inflation!) It sounds nothing, but if you buy one pack per week, that's a full £8.84 MORE out of your pocket and into asda's profits, every year.
The "offer" will have also picked up some people who tried it as it was on offer, who might start buying it regularly.

To top the cheek off, asda even put a "you saved" figure on the bottom of your till receipt!
Supermarkets could actually save us all money, if they would lower their prices instead of using marketing tricks to take more money from each and everyone who (often) are forced to shop there.

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