Sainsbury’s announced today that it was investing a further £50m by March 2023 to keep a lid on prices.
The retailer stated that it was accelerating its “value plan” to help customers manage the rising cost of living. It noted over £15m had specifically been set aside to keep prices down on festive product lines.
Sainsbury’s claimed it has been able to hold the price of a traditional fresh Christmas dinner against last year to £4 a head despite the current levels of inflation in the food market.
The retailer stated that it was committed to doing everything it can to support customers during the current crisis. It highlighted that by March 2023, it will have invested over £550m in battling price inflation over a two-year period. This is 10% more than the original £500m target Sainsbury’s had set out in May earlier this year.
“We really understand that millions of households are having to make really tough decisions this Christmas and our job is to do everything we can to help with the rising costs of living,” said Chief Executive Simon Roberts.
“We are accelerating our commitment to being the best value, investing a further £50m in lowering prices and doing everything we can to fight inflation and help our customers enjoy celebrating this year. We know everyone wants to enjoy a special Christmas meal together which is why we’re keeping inflation at bay and offering Christmas roast dinner for less than £4 per head – cheaper than it was last year.”
NAM Implications:
- Patently potential PR and growth/maintenance of market share in helping cushion shoppers from the excesses of inflation.
- The issue will be the challenge of easing those shoppers ‘back to reality’…
- …without loss of market share.
- And for suppliers, ensuring they secure their fair share of investment and sales.
