A study by Which? has flagged the price differential between shopping in convenience stores and supermarkets.
The consumer watchdog analysed the prices of own-label and branded items at Tesco Express and Sainsbury’s Local stores, and compared the costs with the same items at their larger supermarket outlets and online.
Which? found that shoppers buying the same 75 items at Tesco Express, including Anchor Spreadable Butter, a Hovis white bread loaf, and own-label milk would be spending an extra £15.73 on average a week than those shopping online or at a larger Tesco store – £817.91 more over the course of a year.
At Sainsbury’s, the prices of 69 grocery lines, including Heinz tomato soup, McVities biscuits and Birds Eye Potato Waffles, bought in Sainsbury’s Local stores would cost an extra £477.93 over the year.
While supermarket prices fluctuate all the time, Which?’s analysis highlighted “steep mark ups” at both Sainsbury’s Local and Tesco Express stores on individual items.
In the worst case, own-label sweet potatoes were found to be 95p on average when bought online or at a Tesco supermarket but £1.30 on average in its convenience format – a difference of 37%. Which? also found Mr Kipling Bakewell slices were £1.27 at larger stores, but cost £1.62 at Tesco Express – 28% more.
At Sainsbury’s, the worst offender was Heinz Cream Of Tomato soup, which was £1.15 at the bigger store but £1.37 in the Local format – a 19% mark-up. Similarly, Birds Eye Potato Waffles were £1.71 in its supermarkets, but £2.01 in its convenience stores.
However, Which? noted that not all items were more expensive at convenience stores compared to big supermarkets. Anchor Spreadable Butter Tub (500g), Colgate Total Original Toothpaste (125ml) and Magnum Almond Ice Cream (4 pack) were all 3% cheaper on average at Sainsbury’s Local compared to its larger stores and online. Meanwhile, Tesco’s own-label unsalted butter block (250g) was 2% cheaper in its Tesco Express outlets.
The consumer watchdog noted that the large differences in price show how challenging food shopping can be, especially for people who are more vulnerable to food insecurity, don’t shop online, or don’t have easy access to a larger supermarket.
Which? is currently campaigning for supermarkets to do more to support consumers through the current cost of living crisis. This includes ensuring that affordable ranges are available, for example by offering a range of budget lines for essential items that enable a healthy diet across their stores, including convenience stores and particularly in locations where people most need support.
Which? has also been calling for supermarkets to make unit pricing clearer so that people can more easily understand the best deals. It also wants to see targeted support, with supermarkets and manufacturers focussing their marketing budgets and promotions on households struggling the most.
“Convenience stores offer a local lifeline for some shoppers, but Which? research shows shopping at a supermarket convenience shop rather than a bigger store comes at a cost – at a time when soaring grocery prices are putting huge pressure on household budgets,” said Sue Davies, Which? Head of Food Policy.
“We know the big supermarkets have the ability to take action and make a real difference to people struggling through the worst cost of living crisis in decades. That’s why we’re calling on them to ensure everyone has easy access to basic, affordable food lines at a store near them, can easily compare the price of products to get the best value and that promotions are targeted at supporting people most in need.”
NAM Implications:
- Key issue is the price premium consumers will accept for ‘closer’/convenient shopping?
- Cash-strapped and discerning savvy shoppers pick up these differences.
- And move accordingly…
- And on slow-news days it can make for interesting newspaper copy.
- (Despite our distracting perma-crisis environment)