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C:\Users\Dan\Desktop\brandview_logo.jpg Monthly Price and Promotion Review

March 09 to April 09 – Analysis and Insight from www.Brand-View.com

 

Whilst over the last few months we have seen the average price change start to slow, this is the first month (data to 22 April ’09) that we have seen overall prices decreasing. 

The base price is now down on average 0.1% versus last month.  This is a result of more categories seeing price decline with 18 categories overall cheaper than they were last month.

Relax and make yourself a cuppa!

Whilst tea prices have risen significantly over the last year - with prices up 8% since last July - this will be the first month consumers will have paid less than the previous month, with prices dropping 1.6% since March.  Milk has also seen a price drop over this time down 1.6%. 

If you’re not a fan of tea, coffee and other hot drinks have seen price drops, so no need to miss out!

The usual suspects

A smaller number of categories have continued with their customary price increases this month including Salad Dressing, Yogurt Drinks, Air Freshener and Eggs.

Salad Dressing price changes look to be driven by a price war on the Kraft range with prices increasing and decreasing dramatically without using any promotional mechanic to inform consumers about the saving.  Yogurt Drinks have been affected by price increases on the Benecol range across almost all retailers.

The £1 price point

The last week of the period saw the greatest number of products sold at £1 so far this year, with the number of products up 40% versus the beginning of the year.  This is from continued growth across all three of these major retailers using this mechanic.

Number of products sold at a £1 (based on categories above)

Sector Summary
Base price change by sector and which retailer sells the cheapest number of products:

Health & Beauty  0%

The individual Health & Beauty categories have seen the least change in the last month with only slight category increases and decreases.  Tesco still remain competitive in this sector with a significant increase on the number products sold at a £1, going from 61 at the beginning of March through to 114 towards the end of April.

Beverages  0%
Whilst hot drinks categories such as Tea and Coffee have seen significant price drops in the last month, price increases from Fizzy Drinks and Wine have resulted in there being no overall change in the category.  Sainsbury’s now has a greater range of products cheaper than Tesco but Asda still remains the cheapest retailer.

 

Household arrow_up_green.png -<1%

Sainsbury’s remains the cheapest in this sector and looks to be even stronger than last month with 200 products cheaper than any other retailer.  The decline of this sector is driven by the size of Detergent & Fabric Conditioner with Cleaning and Bleach seeing price increases.

Dairy arrow_up_green.png -1%

The price reduction of Dairy has been driven predominantly by Milk, Cream and Cheese, with only Eggs seeing a price increase.  Milk’s price decrease has come from branded flavoured milk rather than own label milk.  Tesco has become even cheaper than Asda in this sector in the last month.

 

Frozen arrow_up_green.png -1%
Both Frozen Desserts and Ice Cream have seen price drops this last month with Ice Cream prices down around 1%.  Sainsbury’s products have become noticeably cheaper in this sector, now taking the number two spot to Asda.

 

about
C:\Users\Dan\Desktop\brandview_logo.jpg

Brand View unique tracking and online analysis tools give manufacturers the inside track on price
and promotional activity. To see for yourself and take a free trial of Brand View call us 0844 357 9970 or visit:

Analysis Powered by www.Brand-View.com


Date article published: May 2009

 

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