Asda and M&S are the latest grocery retailers to announce more price cuts to reflect the easing of cost pressures in the sector.
Asda has reduced the price of 232 branded and own-label products as part of a £9m investment. The cost of everyday products such as bread, fresh fruit & vegetables, and fresh meat have been cut by an average of 14%.
Asda’s latest round of price cuts follows a £35m investment to reduce the cost of over 600 products during July and August, bringing the total the retailer has spent on lowering prices to £44m since the start of the summer period.
The price reductions come after Asda’s recent Income Tracker data showed that more than 60% of households saw their disposable incomes fall in August compared to a year earlier, despite a slowdown in the headline inflation rate.
“While the recent fall in inflation is welcome news, the average UK household is almost £80 per month worse off compared to two years ago,” said Kris Comerford, Asda’s Chief Commercial Officer.
“This is the third price drop campaign we have launched in the last four months to support our customers, and our investment is focused on lowering the prices of popular products that make up the core weekly shop. We’re also continuing to work closely with our suppliers and whenever there are further opportunities to pass on commodity price savings to customers we will do so.”
Meanwhile, M&S is cutting the price of over 200 products as part of its promise to deliver “trusted value” for its customers.
The retailer has lowered prices by an average of 11% across items such as fresh meat, soups, and everyday essentials.
This follows previous investments in June when the retailer cut the prices of 75 products and most recently in September, with an extended price lock on over 140 lines.
Alex Freudmann, Managing Director of Food, said: “I believe the quality of M&S Food can’t be matched. We use only the best ingredients and always aim to make the most delicious food. But while we continue to deliver industry-leading quality, it’s important we don’t lose sight of what’s also important for our customers this autumn – value.
“That’s why we’re passing on savings to customers and cutting prices once again as part of our trusted value promise. So customers can be confident that whenever they shop with M&S they’ll be getting the best possible food for the best possible price.”
