Tesco commits to clearer Clubcard pricing

Tesco has committed to making its Clubcard prices clearer for customers.

The supermarket said it will introduce unit pricing for simple promotions to show their value by weight or volume – a move that will make it “even easier” for customers to understand its Clubcard pricing offers.

“If you are in store you will now start to see that the way that we display our Clubcard prices will not only show the total price, but also the unit price of the product (by volume or weight), to allow a direct comparison of the price per unit between the Clubcard prices offer and the price of alternative products,” Tesco chief executive Jason Tarry wrote in a blog post.

The move follows findings by Which? last year that alleged Tesco and its rival Sainsbury’s may be using “potentially dodgy tactics” around some of their loyalty offers.

The consumer champion found that that Heinz Salad Cream (605g) in Tesco had a Clubcard price of £3.50 and a ‘regular’ price of £3.90; however, its regular price had been £2.99 for several weeks before it was increased to £3.90 – just 22 days before the Clubcard promotion.

Which? went on to share its findings with the Competition and Markets Authority (CMA), a move which resulted in the watchdog announcing a supermarket membership pricing review in January.

At the time, Tesco refuted the claims made by Which?, with a spokesperson for the market-leading supermarket telling Retail Systems: “All our Clubcard Price promotions follow strict rules, including considering how they compare against prices in the market, to ensure they represent genuine value and savings for our Clubcard members."

Tesco also noted that its rules had been endorsed by the Trading Standards Primary Authority.

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