Consumer watchdog Which? has stepped up its campaign that calls for supermarkets to ensure more essential value range items are stocked in their convenience stores. This follows research confirming that staple foods can cost more than three times as much if budget range versions are not available and shoppers have no choice but to buy standard own-label alternatives.
Which? analysed the prices of almost 26,000 food and drink products for its August food inflation tracker at eight major supermarkets – Aldi, Asda, Lidl, Morrisons, Ocado, Sainsbury’s, Tesco and Waitrose.
In a separate piece of snapshot research, the consumer watchdog focused on the difference in the price of some everyday food staples between budget ranges, standard own-label and comparable branded versions to see how much customers could end up paying when cheaper versions are not available.
In one example, Which? found that shoppers could be faced with having to pay 246% more at Asda where the budget range version, Just Essentials by Asda Long Grain Rice 1kg at 52p was not available, as the standard own-label, Asda Easy Cook Long Grain White Rice 1kg was £1.80. If no own-label options were available, a comparable branded alternative, Ben’s Original Long Grain Rice 1kg, was £4.85 – an increase of 833% on the budget range version. Which? found similar scenarios at Tesco and Sainsbury’s.
Meanwhile, at Morrisons, budget Savers Baked Beans 410g were 27p, but standard own-label Baked Beans 410g were 48p – 78% more. There, the Heinz Baked Beans 415g were £1.39, a gram-for-gram increase of 396%.
Similar price differentials were found across all the supermarkets, including other products such as spaghetti and tea bags.
While admitting that there are likely to be differences in quality and ingredients between the different ranges of products, Which? noted that those who rely on supermarket convenience stores have a more limited choice of items that best fit their needs and budgets.
Previous Which? research showed essential budget line items are hardly ever sold in supermarket convenience stores. However, in recent months, Morrisons has begun rolling out some budget lines in its convenience stores, while Tesco has replaced some everyday products in its Express stores with cheaper own-label alternatives. Sainsbury’s and Asda have yet to announce that they are making any significant changes in their convenience stores when it comes to stocking more affordable foods.
Which?’s latest inflation tracker showed that the overall annual rate of grocery inflation slowed to 12.5% in August – the lowest figure recorded since September 2022 and down on the highs of 17.2% found earlier this year.
“As millions struggle with increased food prices and other high household bills, it’s staggering that shoppers face paying over three times more for items if they can’t get to a larger supermarket,” said Sue Davies, Which? Head of Food Policy.
“Which? is calling on all major supermarkets to ensure expensive convenience stores are stocked with a range of essential budget ranges so that hard-pressed customers can afford important staple foods to feed themselves and their loved ones healthily.”
NAM Implications:
- A no-brainer gap in the market.
- For a retailer/s that are prepared to go for ‘properly’ priced own label…
