Which? is again calling on the leading supermarkets in the UK to make their pricing clearer after finding what it claims are confusing pricing practices that are making it difficult for cash-strapped shoppers to work out which food and drink products are the best value.
The consumer watchdog discovered that some versions of the same product can cost up to three and a half times more (346%) per unit at the same supermarket, highlighting why consistent unit pricing is vital for helping consumers to find the cheapest option.
In a survey, Which? found that seven in 10 people (72%) could not work out the cheapest item in a range of real-life examples from supermarkets.
The Which? investigation tracked the prices of 10 popular groceries, including Coca-Cola, own-label semi-skimmed milk, Dairy Milk chocolate, Nescafé instant coffee and Weetabix at Asda, Morrisons, Sainsbury’s and Tesco for three months.
In one example, up to 17 different-sized versions of Coca-Cola were available with prices varying between 11p and 50p per 100ml at Tesco. That’s 346% more for a shopper who buys four 250ml glass bottles (£5) than one who picks up a 1.5 litre bottle instead (£1.68).
Which? also found that the price per 100ml of own-label semi-skimmed milk varied between 6p and 13p at Morrisons – that’s 133% more for a shopper choosing a 500ml bottle (65p) than one picking a 2.27-litre one (£1.27).
Researchers from the consumer watchdog also visited branches of Aldi, Asda, Iceland, Lidl, M&S, Morrisons, Sainsbury’s, Tesco and Waitrose to see how unit pricing was working in practice. It claims to have found a multitude of problems, including some fruit and veg lines which, depending on the pack size or variety, were given a price each, per pack, or per 1Kg – making it difficult to compare prices.
There was also said to be confusing terminology, such as for peppers at Lidl, which were priced both per ‘piece’ and ‘each’. Meanwhile, at M&S, ‘each’ was used to mean both a pack of four pears and also a single pear.
There were also many times when the price per unit was clearly displayed but did not apply to a special offer, promotion or other price reduction.
Meanwhile, Which? said there were numerous examples of pricing that was hard to read or missing entirely – such as for a pack of tomatoes in Tesco, Penguin bars in Waitrose, some soft fruit in Morrisons, and vine tomatoes in M&S.
The watchdog also found that there are big differences in how supermarkets present and use unit pricing online, particularly for promotions.
When Which? looked at each supermarket’s website, it found all displayed unit pricing for standard-priced items and for discounted items. But researchers were unable to find unit pricing for multibuys at any of the retailers, although not all the discounters sell them.
At Tesco, it also found most discounts are now offered through its Clubcard Prices promotion, which doesn’t show unit pricing. The watchdog suggested that this means most discounts in Tesco are difficult to compare with other similar products.
Displaying prices of goods, and therefore unit prices, is governed by the Price Marking Order 2004. However, the legislation specifies a range of different units that can be used depending on the product type, so there can be confusion for shoppers.
Which? has campaigned on the issue of unclear pricing before, culminating in a super-complaint to the Competition and Markets Authority in 2015. That led to a series of recommendations to improve unit pricing in supermarkets, although the legislation itself was not changed.
Which? stated that “clear, fair and transparent pricing” is now key to helping shoppers through the current cost of living crisis and is calling on supermarkets to urgently do more by making unit pricing more prominent, legible and consistent – as well as by displaying it on their promotional offers.
“At a time when food prices are a huge concern, unit pricing can be a useful tool for shoppers to compare and choose the cheapest groceries, but unclear supermarket pricing means the vast majority of people are left struggling to find the best deal,” said Sue Davies, Which? Head of Food Policy.
“Small savings can add up and make a big difference, but unless supermarkets make unit pricing much more prominent, legible and consistent – as well as displaying it on their promotional offers – people will continue to risk missing out on getting the best value.”
NAM Implications:
- Basic principles in consumer psychology:
- When in doubt, walk…
- When a con is perceived, don’t get mad, get even…
- If pleased, tell a friend, if displeased tell 10 friends…
- Retailers: Your call.